POST UTME SUMMIT UNIVERSITY 2025 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A consumer protection agency has received a complaint from a customer who purchased a defective product. The product has a warranty period of 2 years. If the customer purchased the product 1 year ago, what is the maximum amount the manufacturer can be liable for?
A. ₦50,000
B. ₦75,000
C. ₦100,000
D. ₦125,000
Question 2
A company's cost function is given by C = 100L + 200K, where C is cost, L is labor, and K is capital. If labor increases by 10% and capital remains constant, what is the new cost?
A. 1100
B. 1200
C. 1300
D. 1400
Question 3
A consumer purchases a product with a price of ₦10,000. If the product is subject to a 5% sales tax, what is the total amount paid by the consumer?
A. ₦10,500
B. ₦10,750
C. ₦11,000
D. ₦11,250
Question 4
A company's production function is given by the equation Q = 2L^2 + 5K, where Q is output, L is labor, and K is capital. If the company wants to produce 100 units of output, how many units of labor are required if capital is fixed at 10 units?
A. 25
B. 50
C. 75
D. 100
Question 5
A company is considering the introduction of a new marketing strategy. The company has a current market share of 20% and expects to increase its market share by 5% with the new strategy. What is the company's expected market share after implementing the new strategy?
A. 25%
B. 30%
C. 35%
D. 40%
Question 6
A bank's liquidity ratio is calculated as the ratio of its liquid assets to its total deposits. If a bank has liquid assets worth ₦120 million and total deposits of ₦180 million, what is its liquidity ratio?
A. 0.67
B. 0.80
C. 0.83
D. 0.90
Question 7
A sole trader has a business income of ₦1.5 million and a business expense of ₦750,000. What is the sole trader's business profit?
A. ₦750,000
B. ₦1 million
C. ₦1.25 million
D. ₦1.5 million
Question 8
A company is considering the introduction of a new product line. The product has a high fixed cost of ₦10 million and a variable cost of ₦5,000 per unit. The selling price of the product is ₦15,000 per unit. If the company expects to sell 10,000 units, what is the minimum revenue required to break even?
A. ₦120 million
B. ₦125 million
C. ₦130 million
D. ₦135 million
Question 9
A company's profit function is given by P = R - C, where P is profit, R is revenue, and C is cost. If revenue increases by 10% and cost remains constant, what is the new profit?
A. 100
B. 110
C. 120
D. 130
Question 10
A company has two warehouses, A and B, with capacities of 1000 and 500 units, respectively. Warehouse A has 800 units of stock, while Warehouse B has 200 units. If the company wants to transfer 300 units from Warehouse A to Warehouse B, what will be the new stock levels in each warehouse?
A. Warehouse A: 500 units, Warehouse B: 800 units
B. Warehouse A: 600 units, Warehouse B: 700 units
C. Warehouse A: 700 units, Warehouse B: 600 units
D. Warehouse A: 800 units, Warehouse B: 500 units
Question 11
A company's marketing strategy involves a 20% discount on all products during a promotional period. If a product originally costs ₦1,500, what is the selling price after the discount?
A. ₦1,200
B. ₦1,500
C. ₦1,800
D. ₦2,000
Question 12
A firm's revenue function is given by R = 100Q - 2Q^2, where R is revenue and Q is quantity sold. If the quantity sold increases by 20%, what is the new revenue?
A. 1800
B. 2000
C. 2200
D. 2400
Question 13
In a production process, the marginal cost (MC) of producing the 100th unit is ₦250. If the average cost (AC) of producing the first 100 units is ₦200, and the fixed cost is ₦10,000, what is the total cost of producing the first 100 units?
A. ₦22,500
B. ₦25,000
C. ₦30,000
D. ₦35,000
Question 14
A company's production function is given by Q = 100L^0.5K^0.5, where Q is output, L is labor, and K is capital. If labor increases by 20% and capital remains constant, what is the percentage change in output?
A. 10%
B. 20%
C. 30%
D. 40%
Question 15
A company's revenue is ₦1,000,000, and its cost of goods sold is ₦600,000. If the company's tax rate is 25%, what is the net income?
A. ₦150,000
B. ₦200,000
C. ₦250,000
D. ₦300,000

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