Waec Model Questions Vol1 2023 Commerce Question 6
Practice objective / multiple choice question 6 from the 2023 Waec Model Questions Vol1 Commerce examination.
A company has an annual demand of 12,000 units for a product. The ordering cost is ₦500 per order. The holding cost is 25% of the unit cost per year. The unit cost is ₦200, but if an order quantity of at least 800 units is placed, the unit cost falls to ₦180. Determine the order quantity that minimises the total annual cost and state the minimum total cost.
Answer Options
About This Question
This is Waec Model Questions Vol1 2023 Commerce Question 6. It is one of the objective questions from the 2023 Waec Model Questions Vol1 Commerce examination.
Difficulty level: Hard .
Master the Exam!
You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.