Waec Model Questions Vol1 2021 Commerce Question 5

Practice essay / theory question 5 from the 2021 Waec Model Questions Vol1 Commerce examination. This question covers Retail Trade .

Waec Model Questions Vol1 2021 Commerce Essay / Theory

Topic: Retail Trade

Question 5 WAEC_MODEL_QUESTIONS_VOL1 • 2021 • COMMERCE • essay

A retail shop sells two product lines, A and B. The following data relate to a typical month:

Question Parts

( a )

Calculate the contribution margin per unit for product A and product B.

( b )

Using the expected sales mix of 300 units of A and 150 units of B per month, determine the weighted‑average contribution margin per unit.

( c )

The shop incurs fixed overheads of ₦1,200,000 per month. Calculate the overall break‑even point in units and allocate the break‑even units to products A and B according to the sales mix.

( d )

If the selling price of product A is increased by 10 % while all other variables remain unchanged, recalculate the break‑even units for product A and product B and comment on the effect of the price change.

Detailed Solution & Marking Scheme

Get the step-by-step solution, key points required by examiners and detailed marking guidance through the Edcrib AI Tutor.

Reveal Answer

About This Question

This is Waec Model Questions Vol1 2021 Commerce Question 5. It is one of the essay questions from the 2021 Waec Model Questions Vol1 Commerce examination.

The question covers Retail Trade .

View More Waec Model Questions Vol1 2021 Commerce Questions More Waec Model Questions Vol1 Practice Questions Back to Questions

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

Chat with Support