Practice post utme lautech commerce 2019 Past Questions

Question 1

A company's directors are sued for breach of fiduciary duty. What is the company's liability?

A. The company is liable for the directors' actions.

B. The company is not liable for the directors' actions.

C. The company is entitled to indemnify the directors.

D. The company is required to pay damages to the plaintiffs.

Question 2

A firm's marketing mix involves creating a unique selling proposition (USP). Which of the following is a key element of a USP?

A. Product differentiation

B. Price competitiveness

C. Promotional activities

D. Distribution channels

Question 3

A firm's revenue function is given by R = 2x^2 + 3x. If the firm's current level of x is 4 units, what is the marginal revenue?

A. 13

B. 14

C. 15

D. 16

Question 4

A consumer protection law aims to safeguard the interests of consumers by regulating the sale of goods and services. Which of the following is a type of consumer protection law?

A. Consumer credit law

B. Product liability law

C. Consumer safety law

D. Consumer rights law

Question 5

A company is considering two different marketing strategies: Strategy A, which involves a 10% increase in advertising expenditure, and Strategy B, which involves a 5% decrease in advertising expenditure. If the company's current advertising expenditure is ₦100,000, which strategy would result in a higher total advertising expenditure?

A. Strategy A

B. Strategy B

C. Both strategies would result in the same total advertising expenditure

D. Neither strategy would result in a higher total advertising expenditure

Question 6

A sole trader is a type of business ownership where one person owns and operates the business. What are the advantages of being a sole trader?

A. Easy to set up and manage

B. High level of control and decision-making

C. Limited liability

D. All of the above

Question 7

A firm is considering two different types of distribution channels: direct and indirect. Explain the key differences between these two channels and provide an example of each.

A. Direct distribution channels involve selling products directly to consumers, while indirect distribution channels involve selling products through intermediaries, such as wholesalers and retailers.

B. Indirect distribution channels involve selling products directly to consumers, while direct distribution channels involve selling products through intermediaries, such as wholesalers and retailers.

C. Direct distribution channels involve selling products through intermediaries, such as wholesalers and retailers, while indirect distribution channels involve selling products directly to consumers.

D. Indirect distribution channels involve selling products through intermediaries, such as wholesalers and retailers, while direct distribution channels involve selling products directly to consumers.

Question 8

A sole trader's business is not registered with the Corporate Affairs Commission (CAC). What is the legal implication of this?

A. The business is not entitled to limited liability.

B. The business is not required to file annual returns.

C. The business is not eligible for tax deductions.

D. The business is not required to have a business name.

Question 9

A company's foreign trade involves importing goods from another country. What is the term for this type of trade?

A. Export

B. Import

C. Trade deficit

D. Trade surplus

Question 10

A bank's primary function is to act as a financial intermediary between savers and borrowers. Which of the following is a type of financial intermediary?

A. Commercial bank

B. Investment bank

C. Central bank

D. Merchant bank

Question 11

A firm is considering two different types of marketing research methods: qualitative and quantitative. Explain the key differences between these two methods and provide an example of each.

A. Qualitative marketing research methods involve collecting and analyzing non-numerical data, such as customer opinions and attitudes, while quantitative marketing research methods involve collecting and analyzing numerical data, such as sales figures and market trends.

B. Quantitative marketing research methods involve collecting and analyzing non-numerical data, such as customer opinions and attitudes, while qualitative marketing research methods involve collecting and analyzing numerical data, such as sales figures and market trends.

C. Qualitative marketing research methods involve collecting and analyzing numerical data, such as sales figures and market trends, while quantitative marketing research methods involve collecting and analyzing non-numerical data, such as customer opinions and attitudes.

D. Quantitative marketing research methods involve collecting and analyzing customer opinions and attitudes, while qualitative marketing research methods involve collecting and analyzing sales figures and market trends.

Question 12

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 13

A company's warehouse is experiencing stockouts due to inadequate inventory management. Which of the following is a key principle of effective inventory management?

A. Just-in-time inventory system

B. Economic order quantity (EOQ) model

C. ABC analysis

D. Vendor-managed inventory (VMI)

Question 14

In a perfectly competitive market, the supply curve is upward sloping because of the law of increasing opportunity cost. However, in a perfectly competitive market, the law of increasing opportunity cost is not the primary reason for the upward sloping supply curve. What is the primary reason?

A. The law of diminishing marginal returns

B. The law of increasing opportunity cost

C. The law of supply and demand

D. The law of diminishing returns

Question 15

A consumer's indifference curve is given by the equation u(x, y) = 2x + 3y. If the consumer's current level of y is 3 units, what is the marginal utility of x?

A. 2

B. 3

C. 4

D. 5

POST UTME LAUTECH 2019 Commerce | Objective

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