Practice post utme eksu commerce 2022 Past Questions

Question 1

In a perfectly competitive market, what is the relationship between the marginal revenue (MR) and marginal cost (MC) curves?

A. MR > MC

B. MR < MC

Correct C. MR = MC

D. MR ≠ MC

Correct Answer: C

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Question 2

A firm's production function is given by Q = 2L^0.5 + 3K^0.5. If the price of labor (L) is ₦50 per unit and the price of capital (K) is ₦100 per unit, what is the total cost of producing 10 units of output?

A. ₦2500

Correct B. ₦3000

C. ₦3500

D. ₦4000

Correct Answer: B

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Question 3

A consumer has the following indifference curves: I1 and I2. If the price of good X is ₦50 and the price of good Y is ₦75, what is the consumer's optimal bundle of goods?

Correct A. (10, 5)

B. (5, 10)

C. (15, 3)

D. (3, 15)

Correct Answer: A

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Question 4

A firm's demand function is given by Q = 100 - 2P. If the firm's marginal revenue (MR) function is given by MR = -2, what is the firm's optimal price?

A. ₦20

Correct B. ₦30

C. ₦40

D. ₦50

Correct Answer: B

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Question 5

A firm's production function is given by Q = 2L^0.5 + 3K^0.5. If the price of labor (L) is ₦50 per unit and the price of capital (K) is ₦100 per unit, what is the firm's marginal product of labor (MPL) when L = 4?

A. 0.5

B. 1

Correct C. 1.5

D. 2

Correct Answer: C

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Question 6

A company is considering a new marketing strategy that involves partnering with a popular social media influencer. The influencer has a large following and is known for promoting products that align with the company's brand values. However, the company is concerned about the potential risks associated with partnering with an influencer, including the risk of negative publicity and the potential for the influencer to promote competing products. Which of the following is the most appropriate way for the company to mitigate these risks?

A. Negotiate a contract that includes a non-compete clause

Correct B. Conduct thorough research on the influencer's past promotions and reputation

C. Require the influencer to disclose any potential conflicts of interest

D. Limit the scope of the partnership to a specific product or service

Correct Answer: B

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Question 7

A bank is considering a new loan product that offers a variable interest rate tied to the prime lending rate. The bank's risk management team is concerned about the potential risks associated with this product, including the risk of interest rate volatility and the potential for borrowers to default on their loans. Which of the following is the most appropriate way for the bank to manage these risks?

Correct A. Implement a hedging strategy to mitigate interest rate risk

B. Increase the interest rate margin to compensate for potential losses

C. Conduct thorough credit analysis on borrowers to assess their creditworthiness

D. Limit the loan amount to a specific percentage of the borrower's income

Correct Answer: A

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Question 8

A company is considering a new warehouse management system to improve its inventory control and reduce costs. The system includes a barcode scanning feature that allows employees to quickly and accurately scan inventory items. However, the company is concerned about the potential risks associated with implementing this system, including the risk of data breaches and the potential for employees to misuse the system. Which of the following is the most appropriate way for the company to mitigate these risks?

Correct A. Implement robust data encryption and access controls to protect against data breaches

B. Conduct thorough training on the system's features and functionality to prevent misuse

C. Limit access to the system to authorized personnel only

D. Monitor system usage and activity to detect potential security threats

Correct Answer: A

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Question 9

A consumer is considering purchasing a product from a company that has a reputation for producing high-quality products. However, the consumer is also concerned about the potential risks associated with purchasing from this company, including the risk of product defects and the potential for the company to engage in deceptive marketing practices. Which of the following is the most appropriate way for the consumer to mitigate these risks?

Correct A. Conduct thorough research on the company's reputation and product quality

B. Read and understand the product warranty and return policy

C. Check for certifications and compliance with industry standards

D. Contact the company's customer service department to ask questions

Correct Answer: A

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Question 10

A company is considering a new marketing strategy that involves creating a social media campaign to promote its products. The company wants to ensure that its campaign is effective and reaches its target audience. Which of the following is the most appropriate way for the company to measure the success of its campaign?

A. Track engagement metrics such as likes, shares, and comments

B. Monitor website traffic and online sales

C. Conduct surveys and focus groups to gather feedback

Correct D. Use social media analytics tools to track campaign performance

Correct Answer: D

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Question 11

A firm specializes in producing a single product, which is a type of commodity. If the firm's production costs are ₦150,000 and the selling price is ₦250,000, what is the profit made from the sale of 500 units of the commodity?

A. ₦5,000,000

Correct B. ₦6,000,000

C. ₦7,000,000

D. ₦8,000,000

Correct Answer: B

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Question 12

A company's production process involves the following steps: raw material procurement, production, and packaging. If the company spends ₦200,000 on raw materials, ₦300,000 on production, and ₦100,000 on packaging, what is the total cost of production?

A. ₦600,000

B. ₦700,000

Correct C. ₦800,000

D. ₦900,000

Correct Answer: C

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Question 13

A firm's production function is given by the equation Q = 2L + 3K, where Q is the quantity produced, L is the labor input, and K is the capital input. If the firm uses 10 units of labor and 5 units of capital, what is the quantity produced?

A. 20

B. 30

Correct C. 40

D. 50

Correct Answer: C

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Question 14

A company's cash flow statement shows a net cash inflow of ₦500,000. If the company's cash balance at the beginning of the year was ₦200,000, what is the cash balance at the end of the year?

A. ₦700,000

B. ₦800,000

C. ₦900,000

Correct D. ₦1,000,000

Correct Answer: D

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Question 15

A firm's balance sheet shows total assets of ₦1,500,000 and total liabilities of ₦800,000. What is the firm's equity?

A. ₦700,000

B. ₦800,000

C. ₦900,000

Correct D. ₦1,000,000

Correct Answer: D

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Question 16

A company's warehouse is designed to store 5000 crates of goods. If the crates are stacked in a rectangular prism with a base area of 10m^2 and a height of 5m, what is the volume of the warehouse in cubic meters?

A. 250m^3

Correct B. 500m^3

C. 750m^3

D. 1000m^3

Correct Answer: B

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Question 17

A customer purchases a product with a 20% discount. If the original price of the product is ₦10,000, what is the amount of discount the customer receives?

Correct A. ₦2,000

B. ₦2,500

C. ₦3,000

D. ₦3,500

Correct Answer: A

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Question 18

A company has a warehouse with a capacity to store 1000 crates of goods. If the crates are stacked in a rectangular prism with a base area of 5m^2 and a height of 10m, what is the volume of the warehouse in cubic meters?

A. 50m^3

Correct B. 100m^3

C. 150m^3

D. 200m^3

Correct Answer: B

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Question 19

A customer purchases a product with a 15% discount. If the original price of the product is ₦8,000, what is the amount of discount the customer receives?

Correct A. ₦1,200

B. ₦1,500

C. ₦1,800

D. ₦2,000

Correct Answer: A

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Question 20

A company has a warehouse with a capacity to store 500 crates of goods. If the crates are stacked in a rectangular prism with a base area of 2m^2 and a height of 20m, what is the volume of the warehouse in cubic meters?

A. 40m^3

B. 50m^3

Correct C. 60m^3

D. 70m^3

Correct Answer: C

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Question 21

A customer purchases a product with a 25% discount. If the original price of the product is ₦12,000, what is the amount of discount the customer receives?

Correct A. ₦3,000

B. ₦3,500

C. ₦4,000

D. ₦4,500

Correct Answer: A

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Question 22

A company has a warehouse with a capacity to store 200 crates of goods. If the crates are stacked in a rectangular prism with a base area of 3m^2 and a height of 15m, what is the volume of the warehouse in cubic meters?

A. 45m^3

Correct B. 50m^3

C. 55m^3

D. 60m^3

Correct Answer: B

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Question 23

A customer purchases a product with a 10% discount. If the original price of the product is ₦9,000, what is the amount of discount the customer receives?

Correct A. ₦900

B. ₦1,000

C. ₦1,100

D. ₦1,200

Correct Answer: A

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Question 24

A company has a warehouse with a capacity to store 300 crates of goods. If the crates are stacked in a rectangular prism with a base area of 4m^2 and a height of 20m, what is the volume of the warehouse in cubic meters?

A. 80m^3

B. 90m^3

C. 100m^3

D. 110m^3

Correct Answer: VIEW ANSWER

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Question 25

A company's sole trader is considering the introduction of a new product line. The product requires an initial investment of ₦2.5 million and has a projected annual profit of ₦1.2 million. If the company's cost of capital is 12%, what is the expected rate of return on investment (ROI)?

A. 15%

Correct B. 18%

C. 20%

D. 22%

Correct Answer: B

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POST UTME EKSU 2022 Commerce | Objective

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