POST UTME CALEB UNIVERSITY 2017 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's insurance policy covers losses due to natural disasters. However, the policy has a 30-day waiting period before coverage begins. What type of risk is the company exposed to during this waiting period?
A. Market risk
B. Credit risk
C. Operational risk
D. Contingent business interruption risk
Question 2
A company is considering the introduction of a new product. The product is expected to generate significant revenue, but it also poses a risk to the environment. Which of the following is the most appropriate course of action?
A. The company should proceed with the introduction of the product.
B. The company should conduct a thorough environmental impact assessment before introducing the product.
C. The company should abandon the product due to environmental concerns.
D. The company should seek the advice of a regulatory agency before introducing the product.
Question 3
A company is considering two marketing strategies: one that focuses on social media advertising and another that focuses on influencer marketing. If the company has a limited budget, which strategy would you recommend and why?
A. Social media advertising because it is more cost-effective
B. Influencer marketing because it can reach a wider audience
C. Both strategies are equally effective and the company should choose one based on its target audience
D. Neither strategy is effective and the company should choose a different approach
Question 4
A company is considering two different marketing strategies for its new product: a product positioning strategy and a product differentiation strategy. Which strategy is more likely to result in higher sales volume in the long run?
A. Product positioning strategy
B. Product differentiation strategy
C. Price skimming strategy
D. Bundle pricing strategy
Question 5
A company has a policy of paying its employees a salary of ₦50,000 per month. The company has 100 employees and wants to increase their salaries by 10%. What is the total increase in salaries?
A. ₦500000
B. ₦1000000
C. ₦5000000
D. ₦10000000
Question 6
A firm specializing in the production of textiles has decided to expand its operations to include the production of clothing. What type of production specialization is this firm adopting?
A. Vertical Integration
B. Horizontal Integration
C. Conglomerate Integration
D. Diversification
Question 7
The Consumer Protection Act of 1999 provides for the protection of consumers from unfair trade practices. Which of the following is a key provision of the Act?
A. The Act provides for the establishment of a Consumer Protection Council.
B. The Act provides for the protection of consumers from unfair trade practices.
C. The Act provides for the establishment of a Consumer Protection Agency.
D. The Act provides for the protection of consumers from false advertising.
Question 8
In a perfectly competitive market, the law of diminishing marginal utility is reflected in the
A. supply curve
B. demand curve
C. law of supply
D. law of demand
Question 9
A company's marketing strategy is to increase its market share by
A. increasing its price
B. decreasing its price
C. increasing its advertising budget
D. decreasing its production costs
Question 10
A bank is considering the introduction of a new financial product. The product is expected to generate significant revenue, but it also poses a risk to customers. Which of the following is the most appropriate course of action?
A. The bank should proceed with the introduction of the new product.
B. The bank should conduct a thorough risk assessment before introducing the new product.
C. The bank should abandon the new product due to customer concerns.
D. The bank should seek the advice of a regulatory agency before introducing the new product.
Question 11
A company is considering the introduction of a new production process. The process is expected to increase efficiency, but it also poses a risk to employee safety. Which of the following is the most appropriate course of action?
A. The company should proceed with the introduction of the new process.
B. The company should conduct a thorough risk assessment before introducing the new process.
C. The company should abandon the new process due to safety concerns.
D. The company should seek the advice of a regulatory agency before introducing the new process.
Question 12
A marketing manager is developing a campaign to promote a new product. The campaign is expected to reach a large audience, but it also has the potential to be misinterpreted. Which of the following is the most appropriate approach?
A. The marketing manager should focus on creating a catchy slogan to grab the audience's attention.
B. The marketing manager should conduct a thorough analysis of the target audience to ensure the campaign is effective.
C. The marketing manager should avoid using any language that could be misinterpreted.
D. The marketing manager should seek the advice of a regulatory agency before launching the campaign.
Question 13
A company's cost function is given by the equation
A. ( C = 2L + 3K )
B. ( C = 2L^{2} + 3K )
C. ( C = 2L + 3K^{2} )
D. ( C = 2L^{2} + 3K^{2} )
Question 14
A firm is considering two marketing strategies: a high-low strategy and a penetration pricing strategy. Which strategy is more likely to increase market share in the short run?
A. High-low strategy
B. Penetration pricing strategy
C. Both strategies are equally effective
D. Neither strategy is effective
Question 15
A company has a 10% chance of losing a customer due to a competitor's marketing campaign. If the company has 1000 customers, how many customers can it expect to lose?
A. 100 customers
B. 150 customers
C. 200 customers
D. 250 customers

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