POST UTME GREENFIELD UNIVERSITY 2019 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company has a share capital of ₦1,000,000, divided into 100,000 ordinary shares of ₦10 each. If the company issues 20,000 shares at a premium of ₦5 per share, what is the total amount received from the issue of shares?
A. ₦200,000
B. ₦250,000
C. ₦300,000
D. ₦350,000
Question 2
A firm's production function is given by Q = 2L^(1/2)K^(1/2), where Q is output, L is labor, and K is capital. If the firm increases labor from 16 to 25 and capital from 9 to 16, what is the percentage change in output?
A. 10%
B. 15%
C. 20%
D. 25%
Question 3
A firm's revenue function is given by R = 2Q^2, where R is revenue and Q is output. If the firm increases output from 4 to 6, what is the percentage change in revenue?
A. 25%
B. 30%
C. 35%
D. 40%
Question 4
A company has a profit of ₦5,000,000. If the company pays a dividend of 20% on its ordinary shares, what is the amount of dividend paid?
A. ₦1,000,000
B. ₦2,000,000
C. ₦5,000,000
D. ₦10,000,000
Question 5
A company's production function is given by Q = 2L^0.5 + 3K^0.5, where Q is the quantity produced, L is labor, and K is capital. If the company wants to produce 10 units of output, how much labor should it hire if it has 4 units of capital?
A. 2 units
B. 4 units
C. 6 units
D. 8 units
Question 6
In a sole trader business, what is the primary disadvantage of using a sole proprietorship?
A. Limited liability
B. Easy to manage cash flow
C. Increased credibility with suppliers
D. No separation of personal and business finances
Question 7
A company has a turnover of ₦100,000,000. If the company's gross profit is ₦20,000,000, what is the company's gross profit percentage?
A. 20%
B. 30%
C. 40%
D. 50%
Question 8
A company has the following financial data: Revenue = ₦500,000, Cost of Goods Sold = ₦300,000, Operating Expenses = ₦100,000. What is the company's net profit?
A. ₦100,000
B. ₦200,000
C. ₦300,000
D. ₦400,000
Question 9
A firm is considering two different production technologies: a traditional technology and a new technology. The traditional technology has a fixed cost of ₦100,000 and a variable cost of ₦50 per unit produced. The new technology has a fixed cost of ₦150,000 and a variable cost of ₦30 per unit produced. If the firm produces 10,000 units, which technology should it choose?
A. Traditional technology
B. New technology
C. Either technology is equally profitable
D. Neither technology is profitable
Question 10
A company's cost function is given by C = 2L + 3K, where C is cost, L is labor, and K is capital. If the company increases labor from 10 to 15 and capital from 5 to 8, what is the total change in cost?
A. ₦50
B. ₦60
C. ₦70
D. ₦80
Question 11
A company's production function is given by Q = 100L^0.5K^0.5, where Q is the quantity produced, L is the labor input, and K is the capital input. If the company increases its labor input from 100 to 121 units and its capital input from 100 to 121 units, what is the percentage change in the quantity produced?
A. 10%
B. 20%
C. 30%
D. 40%
Question 12
A firm's revenue function is given by R = 100Q - 2Q^2. If the firm produces 10 units of output, what is its total revenue?
A. 800
B. 900
C. 1000
D. 1100
Question 13
A firm's demand function is given by Q = 100 - 2P, where Q is the quantity demanded and P is the price. If the firm's marginal revenue is 50, what is the price elasticity of demand?
A. 0.5
B. 1
C. 2
D. 3
Question 14
A consumer's indifference curve is given by the equation u(x,y) = 2x + 3y, where x is the quantity of good X consumed and y is the quantity of good Y consumed. If the consumer's income is ₦100,000 and the prices of good X and good Y are ₦50 and ₦30 respectively, how many units of good X should the consumer consume?
A. 10 units
B. 20 units
C. 30 units
D. 40 units
Question 15
A company has a profit of ₦500,000 and a tax rate of 25%. What is the amount of tax payable?
A. ₦125,000
B. ₦150,000
C. ₦175,000
D. ₦200,000

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