POST UTME BSU 2024 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm has a production function Q = 2L^0.5K^0.5, where Q is the quantity produced, L is the labor input, and K is the capital input. If the firm's labor and capital inputs are 100 units each, what is the total product of labor?
A. 100
B. 200
C. 300
D. 400
Question 2
A firm's transportation policy includes a clause that requires all shipments to be insured. If a shipment is not insured, what is the status of the shipment?
A. Valid
B. Invalid
C. Pending
D. Unknown
Question 3
A firm's production process can be described by the following flowchart: {\begin{array}{c} \text{Raw Materials} \xrightarrow{\text{Manufacturing}} \text{Work-in-Progress} \xrightarrow{\text{Quality Control}} \text{Finished Goods} \end{array}}. If the firm's current raw materials input is 100 units, then the number of finished goods units produced is
A. 50
B. 75
C. 100
D. 125
Question 4
A bank offers a 5-year fixed deposit account with an interest rate of 12% per annum compounded annually. If a customer deposits ₦100,000, what will be the future value of the investment after 5 years?
A. ₦163,170.08
B. ₦163,170.09
C. ₦163,170.10
D. ₦163,170.11
Question 5
A firm's production function is given by Q = 2L^0.5K^0.5. If the firm's current labor and capital inputs are L = 16 and K = 9, respectively, then the firm's current output level is
A. 8
B. 16
C. 32
D. 64
Question 6
A company's consumer protection policy includes a 30-day money-back guarantee. If a customer purchases a product on January 1st and returns it on January 20th, what is the status of the customer's claim?
A. Approved
B. Rejected
C. Pending
D. Invalid
Question 7
A firm is considering two different marketing strategies for its new product. Strategy A involves a high level of advertising and promotion, while Strategy B involves a low level of advertising and promotion. The firm's marketing manager estimates that Strategy A will result in a 20% increase in sales, while Strategy B will result in a 10% increase in sales. However, Strategy A will also result in a 5% increase in costs, while Strategy B will result in a 2% increase in costs. What is the net benefit of Strategy A compared to Strategy B?
A. 8%
B. 12%
C. 15%
D. 18%
Question 8
A company is considering two different insurance policies to cover its assets. Policy A has a premium of ₦120,000 and a deductible of ₦50,000. Policy B has a premium of ₦90,000 and a deductible of ₦20,000. If the company expects to incur a loss of ₦150,000, which policy would provide the greatest coverage?
A. Policy A
B. Policy B
C. Both policies offer the same coverage
D. Neither policy offers sufficient coverage
Question 9
A warehouse has a storage capacity of 10,000 units. The warehouse is currently 70% full, with 7,000 units stored. If 1,500 new units are received, what percentage of the warehouse will be occupied?
A. 50%
B. 55%
C. 60%
D. 65%
Question 10
A company is considering investing in a new asset that has a potential return of 12% per annum. However, the asset also has a 5% chance of defaulting, which would result in a loss of ₦500,000. What is the expected return on the asset, assuming that the company will hold it for one year?
A. 11.4%
B. 12%
C. 12.6%
D. 13.4%
Question 11
A firm purchases a 10,000 insurance policy to cover against loss of goods in transit. If the probability of loss is 0.05, what is the expected value of the insurance policy?
A. 500
B. 5000
C. 50,000
D. 100,000
Question 12
A firm's marketing mix is given by the 4 Ps: Product, Price, Place, and Promotion. If the firm's current product is a new smartphone, then the most appropriate place to sell it is
A. online marketplaces
B. physical retail stores
C. social media platforms
D. television commercials
Question 13
A company's consumer protection policy includes a clause that requires all customers to provide identification before making a purchase. If a customer does not provide identification, what is the status of the purchase?
A. Valid
B. Invalid
C. Pending
D. Unknown
Question 14
In a perfectly competitive market, the demand curve for a firm's product is its
A. marginal revenue curve
B. marginal cost curve
C. average revenue curve
D. average cost curve
Question 15
A bank is considering a loan to a customer. What is the primary factor that the bank will consider?
A. The customer's credit history
B. The customer's income
C. The customer's assets
D. The customer's debt-to-income ratio

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