POST UTME UNILORIN 2018 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm specializes in the production of a single good or service. What is this type of production called?
A. Division of Labor
B. Economies of Scale
C. Monopoly
D. Specialization
Question 2
A bank is considering two different investment options. Option A has a return of 10% per annum and a risk level of 5. Option B has a return of 15% per annum and a risk level of 8. If the bank wants to maximize its return while minimizing its risk, which option should it choose?
A. Option A
B. Option B
C. Both options are equally good
D. Neither option is suitable
Question 3
In a perfectly competitive market, firms produce at the point where their marginal cost curve intersects their marginal revenue curve. What is the name of this point?
A. Point of Profit Maximization
B. Point of Maximum Efficiency
C. Point of Minimum Cost
D. Point of Perfect Competition
Question 4
A business has a warehouse with a capacity of 10,000 units. The business receives an order for 5,000 units. The warehouse is currently 70% full. What is the probability that the business will be able to fulfill the order without running out of stock?
A. 0.7
B. 0.8
C. 0.9
D. 1.0
Question 5
A foreign trade agreement between two countries aims to reduce tariffs and other trade barriers. What is the primary benefit of such an agreement?
A. To increase the volume of trade between the two countries
B. To reduce the cost of trade between the two countries
C. To improve the balance of trade between the two countries
D. To increase the competitiveness of businesses in both countries
Question 6
A firm's cost function is given by C(x) = 2x^2 + 5x + 3. Find the marginal cost function.
A. 4x + 5
B. 2x + 5
C. 4x + 5
D. 2x + 5
Question 7
A consumer protection agency receives a complaint about a firm's unfair trade practices. The agency must investigate the complaint and take appropriate action. What is the primary responsibility of the agency?
A. To investigate the complaint and take appropriate action
B. To provide legal advice to the firm
C. To mediate between the firm and the consumer
D. To impose a fine on the firm
Question 8
The Central Bank of Nigeria (CBN) uses the monetary policy to regulate the money supply in the economy. Which of the following is a tool of monetary policy?
A. Open Market Operations (OMO)
B. Reserve Requirements
C. Discount Rate
D. Fiscal Policy
Question 9
In a perfectly competitive market, the law of supply states that as the price of a commodity increases, the quantity supplied will
A. increase
B. decrease
C. remain constant
D. move in the opposite direction
Question 10
The process of buying and selling goods and services across international borders is called?
A. Export
B. Import
C. Foreign Trade
D. International Trade
Question 11
A sole trader's business is considered a separate legal entity from its owner. What is the primary reason for this separation?
A. To protect the owner's personal assets from business liabilities
B. To allow the business to operate independently of its owner
C. To facilitate the transfer of ownership to a new individual
D. To simplify tax compliance for the business
Question 12
A company is considering two different insurance policies to cover its business operations. Policy A has a premium of ₦150,000 and a deductible of ₦50,000. Policy B has a premium of ₦120,000 and a deductible of ₦20,000. If the company expects to incur an average loss of ₦80,000 per year, which policy should it choose?
A. Policy A
B. Policy B
C. Both policies are equally good
D. Neither policy is suitable
Question 13
A business has a warehouse with a capacity of 10,000 units. The business receives an order for 5,000 units. The warehouse is currently 70% full. What is the probability that the business will be able to fulfill the order without running out of stock?
A. 0.7
B. 0.8
C. 0.9
D. 1.0
Question 14
A firm's cost function is given by C = 50 + 10L + 5K. If the firm's labor and capital inputs are increased by 20% and 15% respectively, what is the percentage change in cost?
A. 5%
B. 10%
C. 15%
D. 20%
Question 15
A bank's cash reserve ratio is 20%. If the bank has a total deposit of ₦1,000,000, how much cash must it reserve?
A. ₦200,000
B. ₦250,000
C. ₦200,000
D. ₦250,000

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