POST UTME IGBINEDION UNIVERSITY 2019 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company is considering using a new marketing strategy to increase sales. Which of the following is a major disadvantage of this strategy?
A. Increased customer loyalty
B. Reduced customer loyalty
C. Increased market share
D. Reduced market share
Question 2
The concept of 'caveat emptor' in consumer protection law implies that the buyer should be aware of the product's defects before making a purchase. Which of the following is a correct example of a product defect that would invoke the principle of caveat emptor?
A. A faulty electrical outlet
B. A product that is not fit for its intended purpose
C. A product that is not properly labeled
D. A product that is not durable
Question 3
A firm's marginal revenue is the change in its total revenue resulting from a one-unit change in the quantity sold. If a firm's total revenue is ₦1000 when it sells 10 units of a product, what is its marginal revenue?
A. ₦100
B. ₦200
C. ₦500
D. ₦1000
Question 4
A sole trader is considering expanding its business by taking on a partner. What are the advantages of this decision?
A. Increased financial risk
B. Reduced financial risk
C. Increased financial reward
D. Reduced financial reward
Question 5
A company is considering the purchase of a new piece of equipment that will cost ₦500,000. The equipment is expected to last for 3 years and will save the company ₦100,000 per year in labor costs. What is the payback period of the equipment?
A. 1 year
B. 2 years
C. 3 years
D. 4 years
Question 6
A warehouse manager is responsible for maintaining accurate inventory records. Which of the following is a method of inventory control?
A. First-in, first-out (FIFO)
B. Last-in, first-out (LIFO)
C. Weighted average cost (WAC)
D. Just-in-time (JIT)
Question 7
A consumer purchases a product that is defective. Which of the following is a consumer protection law that applies in this situation?
A. Consumer Protection Act
B. Fair Trading Act
C. Product Liability Act
D. Sales of Goods Act
Question 8
A bank has a 5% interest rate on a savings account, and a 10% interest rate on a certificate of deposit. If a customer has 1000 in a savings account and 500 in a certificate of deposit, what is the total interest earned after one year?
A. ₦125
B. ₦150
C. ₦175
D. ₦200
Question 9
A business owner purchases an insurance policy to protect against potential losses. Which of the following is a type of insurance policy that covers against business interruption?
A. Liability insurance
B. Property insurance
C. Business interruption insurance
D. Workers' compensation insurance
Question 10
A company is considering exporting its products to a foreign market. Which of the following is a major advantage of exporting?
A. Increased competition
B. Reduced market share
C. Increased market share
D. Reduced profit margins
Question 11
A consumer purchases a product for ₦10,000 and pays a 10% sales tax. If the product is returned within 30 days, the consumer is entitled to a full refund. However, if the product is returned after 30 days, the consumer is entitled to a 50% refund. What is the total amount the consumer will receive if the product is returned after 30 days?
A. ₦5,000
B. ₦5,500
C. ₦6,000
D. ₦6,500
Question 12
The diagram below shows the supply and demand curves for a commodity. If the price of the commodity is ₦100, what is the equilibrium quantity?
A. 50
B. 100
C. 200
D. 500
Question 13
A firm's transportation costs can be represented by the following equation: TC = 2Q^2 + 5Q + 10, where Q is the quantity transported. If the firm transports 100 units, what is the total transportation cost?
A. ₦2,500
B. ₦3,000
C. ₦3,500
D. ₦4,000
Question 14
A company's return on investment (ROI) is 15%. If it invests ₦100,000 in a project, what is the expected return on the project?
A. ₦15,000
B. ₦18,000
C. ₦20,000
D. ₦22,000
Question 15
A company's marketing mix includes the following elements: product, price, promotion, and place. Which of the following is NOT a part of the marketing mix?
A. product
B. price
C. promotion
D. finance

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