POST UTME UNIOSUN 2020 Commerce | Objective

Are you preparing for POST UTME UNIOSUN exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2020 Commerce (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
A company is considering the implementation of a just-in-time (JIT) inventory system. Which of the following is a key benefit of JIT?
Correct A. Reduced inventory costs
B. Improved product quality
C. Increased production capacity
D. Enhanced customer service

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 2
A sole trader is considering the purchase of a new piece of equipment for their business. Which of the following is a key consideration when making this decision?
A. The cost of the equipment
B. The potential return on investment
Correct C. The impact on the business's cash flow
D. The effect on the business's tax liability

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 3
A company is considering the implementation of a new production process. Which of the following is a key factor to consider when evaluating the feasibility of this process?
A. The initial investment required
Correct B. The potential return on investment
C. The impact on the business's cash flow
D. The effect on the business's tax liability

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 4
A consumer is considering the purchase of a new product. Which of the following is a key factor to consider when evaluating the product's quality?
A. The product's price
B. The product's brand reputation
Correct C. The product's features and specifications
D. The product's warranty and after-sales service

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 5
A company is considering the implementation of a new transportation system. Which of the following is a key benefit of this system?
Correct A. Reduced transportation costs
B. Improved product quality
C. Increased production capacity
D. Enhanced customer service

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 6
In a just-in-time (JIT) inventory system, what is the primary goal of the reorder point?
A. To minimize inventory costs
B. To maximize inventory turnover
Correct C. To ensure that stockouts are minimized
D. To reduce lead times

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 7
A company is considering two different production processes for a new product. Process A has a higher fixed cost but a lower variable cost, while Process B has a lower fixed cost but a higher variable cost. Which process should the company choose if it expects to produce 10,000 units?
Correct A. Process A
B. Process B
C. It depends on the expected selling price
D. It depends on the expected demand

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 8
A sole trader has an annual turnover of ₦5 million and an annual profit of ₦750,000. What is the sole trader's profit margin?
A. 15%
Correct B. 20%
C. 25%
D. 30%

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 9
A company is considering launching a new product in a new market. The company has conducted market research and estimates that the product will have a market share of 20% in the first year, increasing to 30% in the second year. What is the company's expected market share in the second year?
A. 20%
B. 25%
Correct C. 30%
D. 35%

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 10
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, what is the bonus they will receive?
A. ₦8,000
Correct B. ₦10,000
C. ₦12,000
D. ₦15,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 11
A firm specializes in producing a single product, which is a type of consumer good. The production process involves a series of stages, each with its own set of inputs and outputs. What is the primary advantage of specialization in this context?
Correct A. Increased efficiency due to division of labor
B. Reduced costs due to economies of scale
C. Improved product quality due to focus on a single product
D. Enhanced customer satisfaction due to tailored products

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 12
A company offers a warranty on its products, which covers repairs and replacements for a specified period. What type of risk management strategy is this company employing?
A. Risk avoidance
Correct B. Risk transfer
C. Risk retention
D. Risk reduction

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 13
A marketing campaign involves creating a series of advertisements to promote a new product. The campaign includes print ads, social media posts, and influencer partnerships. What type of marketing strategy is this?
Correct A. Integrated marketing communications
B. Segmented marketing
C. Mass marketing
D. Personal selling

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 14
A consumer purchases a product online, but upon receiving it, finds that it does not match the description. What type of consumer protection law would this situation fall under?
Correct A. Consumer rights act
B. Product liability law
C. Deceptive advertising law
D. Unfair trade practices law

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 15
A company stores its inventory in a warehouse, which is equipped with a system for tracking and managing stock levels. What type of warehousing and stock control system is this?
A. Just-in-time inventory system
B. Economic order quantity system
C. Materials requirements planning system
Correct D. Warehouse management system

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 16
A sole trader's business is exposed to various risks, including theft, fire, and liability for injuries to customers. Which of the following types of insurance would be most appropriate for the sole trader to purchase?
Correct A. Public Liability Insurance
B. Employers' Liability Insurance
C. Fire Insurance
D. Theft Insurance

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 17
A company is considering expanding its operations to a new market. The company's management has identified several potential risks associated with the expansion, including changes in government regulations, increased competition, and fluctuations in global demand. Which of the following risk management strategies would be most appropriate for the company to adopt?
A. Diversification
Correct B. Hedging
C. Risk Avoidance
D. Risk Transfer

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 18
A firm is considering the use of just-in-time (JIT) inventory management system. Which of the following benefits would be most likely to result from the implementation of JIT?
Correct A. Reduced inventory costs
B. Improved product quality
C. Increased flexibility in production
D. Enhanced customer service

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 19
A firm is considering the use of a foreign market to expand its operations. Which of the following factors would be most important in determining the firm's decision to enter the foreign market?
A. Market size
Correct B. Market growth rate
C. Competitive intensity
D. Government policies

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 20
A firm is considering the use of a production process that involves the use of a new technology. Which of the following benefits would be most likely to result from the implementation of the new technology?
Correct A. Increased productivity
B. Improved product quality
C. Reduced production costs
D. Enhanced customer service

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 21
In a perfectly competitive market, the law of supply states that as the price of a commodity increases, the quantity supplied will
Correct A. increase
B. decrease
C. remain constant
D. move in the opposite direction

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 22
A firm's production function is given by Q = 2L^(1/2)K^(1/2). If the firm's current labor and capital inputs are L = 16 and K = 9, respectively, what is the firm's current output?
A. 10
Correct B. 12
C. 16
D. 20

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 23
A company's marketing mix is given by the 4 Ps: Product, Price, Place, and Promotion. Which of the following is NOT one of the 4 Ps?
A. Product
B. Price
C. Place
Correct D. Profit

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 24
A firm's revenue function is given by R = 100Q - 2Q^2. If the firm's current output is Q = 10, what is the firm's current revenue?
A. 800
Correct B. 900
C. 1000
D. 1100

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 25
A company's cost function is given by C = 50 + 10Q. If the firm's current output is Q = 5, what is the firm's current cost?
A. 60
Correct B. 70
C. 80
D. 90

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Help others prepare! Share this practice hub:
Chat with Support