POST UTME UNILORIN 2017 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
The diagram below represents a production possibility frontier (PPF) for two countries, Nigeria and South Africa. Which of the following statements is true?
A. Nigeria has a comparative advantage in producing both goods
B. South Africa has a comparative advantage in producing both goods
C. Nigeria has a comparative advantage in producing good X and South Africa has a comparative advantage in producing good Y
D. South Africa has a comparative advantage in producing good X and Nigeria has a comparative advantage in producing good Y
Question 2
A company's financial statements are presented in a specific format to provide stakeholders with a clear understanding of the company's financial performance. What is the primary purpose of this format?
A. To provide a detailed breakdown of the company's expenses
B. To present the company's financial performance in a clear and concise manner
C. To identify areas for cost reduction
D. To provide a comparison of the company's financial performance with industry averages
Question 3
A firm's production function is given by Q = 2L^0.5K^0.5, where Q is the quantity produced, L is the labor input, and K is the capital input. If the firm increases its labor input from 4 units to 9 units, by how much will its capital input need to increase to maintain the same level of output?
A. 25%
B. 50%
C. 75%
D. 100%
Question 4
A company engages in unfair trade practices and is sued by the Federal Trade Commission. Which of the following is a correct statement regarding the company's liability?
A. The company is liable for damages to consumers who were affected by the unfair trade practices.
B. The company is liable for a fine of up to ₦10 million.
C. The company is liable for a fine of up to ₦100 million and must also cease and desist from engaging in unfair trade practices.
D. The company is not liable for any damages or fines, as the Federal Trade Commission does not have jurisdiction over the company.
Question 5
A consumer purchases a product from a company and discovers that the product is not as advertised. The consumer sues the company for misrepresentation. Which of the following is a correct statement regarding the consumer's claim?
A. The consumer's claim is based on a breach of warranty, not misrepresentation.
B. The consumer's claim is based on a breach of contract, and the consumer is entitled to damages for the misrepresentation.
C. The consumer's claim is based on a breach of contract, but the consumer must prove that the company was negligent in advertising the product.
D. The consumer's claim is barred by the statute of limitations.
Question 6
A company's marketing strategy involves a 30% discount on all products for the first week of a new product launch. If the original price of the product is ₦15,000, what is the total revenue generated from the sale of 100 units of the product during the first week?
A. ₦1,350,000
B. ₦1,500,000
C. ₦1,800,000
D. ₦2,100,000
Question 7
A consumer has a utility function given by U = 2X + 3Y, where X and Y are the quantities of two goods. If the consumer's budget is ₦1000 and the prices of the two goods are X = ₦200 and Y = ₦300, what is the optimal combination of X and Y?
A. (2, 1)
B. (4, 2)
C. (8, 3)
D. (16, 5)
Question 8
A marketing manager is considering two different advertising campaigns for a new product. Campaign A has a budget of ₦1,000,000 and is expected to reach 100,000 people, while Campaign B has a budget of ₦500,000 and is expected to reach 50,000 people. Which campaign is more cost-effective?
A. Campaign A
B. Campaign B
C. Both campaigns are equally cost-effective
D. Neither campaign is cost-effective
Question 9
A firm's cost function is given by C = 2L + 3K, where C is the total cost, L is the number of labor units, and K is the number of capital units. If the firm has 5 labor units and 3 capital units, what is the total cost?
A. 15
B. 20
C. 25
D. 30
Question 10
A company is considering expanding its product line to include a new product. The company's marketing research department has estimated that the demand for the new product will be given by the equation Q = 1000 - 2P, where Q is the quantity demanded and P is the price. If the company wants to maximize its profit, what price should it charge for the new product?
A. ₦200
B. ₦300
C. ₦400
D. ₦500
Question 11
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. Limited liability, easy to set up, and flexible management structure
B. Unlimited liability, difficult to set up, and rigid management structure
C. Easy to manage, flexible ownership structure, and limited liability
D. Difficult to manage, rigid ownership structure, and unlimited liability
Question 12
A production manager is considering two different production processes for a new product. Process A has a higher initial investment but produces the product at a lower cost per unit, while Process B has a lower initial investment but produces the product at a higher cost per unit. Which process is more profitable?
A. Process A
B. Process B
C. Both processes are equally profitable
D. Neither process is profitable
Question 13
In a perfectly competitive market, the law of supply states that as the price of a commodity increases, the quantity supplied of the commodity will
A. decrease
B. increase
C. remain constant
D. become elastic
Question 14
A bank's balance sheet is given by Assets = Liabilities + Equity. If the bank has assets worth ₦100 million, liabilities worth ₦60 million, and equity worth ₦20 million, what is the bank's net worth?
A. ₦20 million
B. ₦30 million
C. ₦40 million
D. ₦50 million
Question 15
A firm's supply function is given by Q = 2P^2 + 10P + 20, where Q is the quantity supplied and P is the price. If the price increases by 10%, by how much will the quantity supplied increase?
A. 5%
B. 10%
C. 15%
D. 20%

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