POST UTME NILE UNIVERSITY 2020 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A consumer protection agency is investigating a complaint about a company's unfair business practices. The agency has collected evidence that the company has engaged in price fixing, which is a violation of the Consumer Protection Act. What is the likely outcome of the investigation?
A. The company will be fined ₦1 million.
B. The company will be required to pay restitution to affected consumers.
C. The company will be forced to cease operations.
D. The agency will drop the investigation.
Question 2
A consumer purchases a product online. What is the consumer's right under the Consumer Protection Act?
A. To return the product within 7 days
B. To claim a refund within 30 days
C. To exchange the product for a different model
D. To seek compensation for any loss or damage
Question 3
A company is considering two marketing strategies: Strategy A, which involves a 10% increase in advertising expenditure, and Strategy B, which involves a 20% increase in sales promotions. If the company's current advertising expenditure is ₦1,500,000 and sales promotions expenditure is ₦800,000, which strategy would result in a higher total marketing expenditure?
A. Strategy A
B. Strategy B
C. Both strategies would result in the same total marketing expenditure
D. Neither strategy would result in a higher total marketing expenditure
Question 4
A company is considering the launch of a new product in a foreign market. The company has conducted market research and has determined that the product will be successful in the target market. However, the company is concerned about the potential risks associated with exporting the product, including the risk of intellectual property theft and the risk of non-payment by the foreign buyer. What is the most appropriate course of action for the company?
A. Negotiate a contract with the foreign buyer that includes a payment guarantee
B. Use a third-party logistics provider to manage the export process
C. Implement a robust intellectual property protection strategy
D. Conduct further market research to better understand the risks and opportunities
Question 5
A company has a warehouse with a capacity of 10,000 units. The company receives an order for 5,000 units. What is the remaining capacity of the warehouse?
A. 5,000 units
B. 10,000 units
C. 15,000 units
D. 20,000 units
Question 6
A sole proprietorship is a type of business ownership where one individual owns and operates the business. What are the advantages of a sole proprietorship?
A. Easy to set up, low startup costs, and unlimited personal liability.
B. Easy to set up, low startup costs, and limited personal liability.
C. Easy to set up, low startup costs, and no personal liability.
D. Difficult to set up, high startup costs, and unlimited personal liability.
Question 7
A company has two warehouses, A and B, with capacities of 10,000 units and 5,000 units, respectively. If the company receives an order for 8,000 units, how should it allocate the order between the two warehouses?
A. Allocate 4,000 units to Warehouse A and 4,000 units to Warehouse B
B. Allocate 6,000 units to Warehouse A and 2,000 units to Warehouse B
C. Allocate 8,000 units to Warehouse A
D. Allocate 8,000 units to Warehouse B
Question 8
A firm is considering the introduction of a new product. The product's demand is given by the equation Q = 100 - 2P, where Q is the quantity demanded and P is the price. If the firm wants to maximize its revenue, what price should it charge for the product?
A. ₦20
B. ₦30
C. ₦40
D. ₦50
Question 9
A company has a policy of paying its employees a bonus of 10% of their salary if they meet their sales targets. If an employee's salary is ₦100,000 and they meet their sales targets, how much will they receive as a bonus?
A. ₦10,000
B. ₦11,000
C. ₦12,000
D. ₦13,000
Question 10
A company is considering the use of a new marketing strategy that involves the use of social media influencers to promote its products. The company has determined that the strategy will be effective in reaching its target market and increasing sales. However, the company is concerned about the potential risks associated with the strategy, including the risk of negative publicity and the risk of non-compliance with advertising regulations. What is the most appropriate course of action for the company?
A. Partner with a social media influencer who has a large following in the target market
B. Use a social media management platform to monitor and respond to online reviews
C. Develop a comprehensive advertising strategy that includes a mix of online and offline channels
D. Conduct a thorough risk assessment to identify and mitigate potential risks
Question 11
A firm specializes in producing only one product. This specialization allows the firm to achieve economies of scale in production, which in turn enables it to reduce its costs and increase its profits. However, this specialization also limits the firm's ability to respond to changes in market demand. What is the name of this type of production?
A. Mass Production
B. Batch Production
C. Job Production
D. Continuous Production
Question 12
A bank's return on equity (ROE) is calculated as net income divided by shareholder equity. If a bank has a net income of ₦120 million and shareholder equity of ₦1.2 billion, what is its ROE?
A. 0.10
B. 0.12
C. 0.15
D. 0.20
Question 13
A company has a warehouse with a capacity of 10,000 units. If the company receives an order for 5,000 units, what is the minimum number of pallets required to fulfill the order?
A. 2 pallets
B. 3 pallets
C. 4 pallets
D. 5 pallets
Question 14
A firm is considering investing in a new project. The project has a net present value (NPV) of ₦1,000,000 and a payback period of 5 years. What is the internal rate of return (IRR) of the project?
A. 10%
B. 15%
C. 20%
D. 25%
Question 15
A bank offers a 5% annual interest rate on deposits. If a customer deposits ₦10,000 for 2 years, how much interest will the customer earn?
A. ₦1,000
B. ₦2,000
C. ₦3,000
D. ₦4,000

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