POST UTME BSU 2019 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A consumer protection agency has received a complaint about a company's misleading advertisement. The advertisement claims that a product 'will make you lose weight in just 7 days.' What is the most likely legal basis for the agency's action against the company?
A. False advertising
B. Unfair competition
C. Deceptive labeling
D. Breach of contract
Question 2
A sole trader is considering expanding their business by hiring additional staff. What is the main advantage of hiring additional staff?
A. Increased productivity
B. Improved customer service
C. Reduced costs
D. Increased flexibility
Question 3
A firm is considering investing in a new project with the following cash flows: Year 1: -₦100,000, Year 2: ₦50,000, Year 3: ₦75,000. What is the net present value (NPV) of the project if the discount rate is 10%?
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 4
A company's assets are valued at ₦1.2 billion. If the company's liabilities are ₦800 million, what is the company's net worth?
A. ₦400 million
B. ₦600 million
C. ₦800 million
D. ₦1.2 billion
Question 5
A company is considering insuring its business against risks. What is the main advantage of insurance?
A. Reduced costs
B. Improved cash flow
C. Increased revenue
D. Protection against risks
Question 6
A firm's production function is given by the equation Q = 2L^(1/2)K^(1/2), where Q is the quantity produced, L is labor, and K is capital. If the firm uses 100 units of labor and 400 units of capital, what is the quantity produced?
A. 20
B. 40
C. 60
D. 80
Question 7
The concept of comparative advantage in international trade is based on the idea that countries should specialize in producing goods for which they have a lower opportunity cost compared to other countries. Which of the following is a correct example of comparative advantage?
A. Nigeria producing cotton and importing textiles from China
B. Nigeria producing textiles and importing cotton from China
C. Nigeria producing both cotton and textiles domestically
D. Nigeria importing both cotton and textiles from China
Question 8
A company is considering outsourcing its logistics operations to a third-party provider. What is the primary benefit of outsourcing logistics?
A. Reduced costs
B. Improved efficiency
C. Increased flexibility
D. Enhanced customer service
Question 9
A firm has two warehouses, A and B. Warehouse A has a capacity of 1000 units, while warehouse B has a capacity of 500 units. If the demand for the firm's product is 1200 units per week, what is the probability that both warehouses will be full?
A. 0.1
B. 0.2
C. 0.3
D. 0.4
Question 10
A company is considering expanding its business by opening a new branch. What is the main advantage of opening a new branch?
A. Increased revenue
B. Improved customer service
C. Reduced costs
D. Increased market share
Question 11
A company is considering investing in a new project. What is the main factor that determines the profitability of the project?
A. Initial investment
B. Expected return on investment (ROI)
C. Break-even point
D. Cash flow
Question 12
A firm uses a transportation management system to manage its transportation operations. The system uses a route optimization algorithm to optimize the firm's delivery routes. What is the term for this algorithm?
A. Route optimization algorithm
B. Transportation management system
C. Logistics management system
D. Supply chain management system
Question 13
A consumer's budget constraint is given by the equation 2x + 3y = 12, where x is the quantity of good X and y is the quantity of good Y. If the consumer's indifference curve is given by the equation U = 2x + 3y, what is the consumer's optimal bundle?
A. (2, 4)
B. (3, 3)
C. (4, 2)
D. (5, 1)
Question 14
A consumer's indifference curve is given by the equation U = 2x + 3y, where U is utility, x is the quantity of good X, and y is the quantity of good Y. If the consumer's budget constraint is 2x + 3y = 12, what is the consumer's optimal bundle?
A. (2, 4)
B. (3, 3)
C. (4, 2)
D. (5, 1)
Question 15
A consumer protection agency receives a complaint about a firm's deceptive advertising practices. The agency investigates the complaint and finds that the firm has indeed engaged in deceptive advertising. What is the appropriate action for the agency to take?
A. Issue a warning to the firm
B. Impose a fine on the firm
C. Order the firm to cease and desist from the deceptive advertising
D. Refer the complaint to a higher authority

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