Waec Model Questions Vol1 2020 Commerce Question 5

Practice objective / multiple choice question 5 from the 2020 Waec Model Questions Vol1 Commerce examination.

Waec Model Questions Vol1 2020 Commerce Objective / Multiple Choice Hard Difficulty
Question 5 WAEC_MODEL_QUESTIONS_VOL1 • 2020 • COMMERCE • objective

A warehouse stores boxes of product P. Each box measures 0.5 m × 0.4 m × 0.3 m. Boxes are stacked on pallets; a pallet can hold up to 4 layers of boxes, and each layer may contain a rectangular arrangement of boxes with no gaps, but no more than 150 boxes per layer because of weight limits. The warehouse floor area allocated for this product is 120 m² and the ceiling height is 3.6 m. The cost of using a pallet is ₦2,500 per pallet per month, while the handling cost per box is ₦150 per month. The company must store exactly 2,400 boxes for one month. Determine the minimum total monthly cost (pallet cost + handling cost) and the number of pallets required to achieve this minimum.

Answer Options

A. ₦380,000; 3 pallets
B. ₦375,000; 4 pallets
C. ₦360,000; 5 pallets
Correct Answer D. ₦370,000; 4 pallets
Correct Answer
D
Correct Option:
₦370,000; 4 pallets

About This Question

This is Waec Model Questions Vol1 2020 Commerce Question 5. It is one of the objective questions from the 2020 Waec Model Questions Vol1 Commerce examination.

Difficulty level: Hard .

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