Post Utme Abu 2022 Commerce Question 40

Practice objective / multiple choice question 40 from the 2022 Post Utme Abu Commerce examination.

Post Utme Abu 2022 Commerce Objective / Multiple Choice
Question 40 POST_UTME_ABU • 2022 • COMMERCE • objective

A company is considering two different trade agreements to export its products to foreign markets. Agreement A involves a tariff of 10% on all exports, while Agreement B involves a tariff of 5% on all exports. However, Agreement B also requires the company to meet certain quality standards. Which agreement is more likely to increase export revenue?

Answer Options

A. Agreement A
Correct Answer B. Agreement B
C. Both agreements will have similar export revenue
D. Neither agreement will increase export revenue
Correct Answer
B
Correct Option:
Agreement B

About This Question

This is Post Utme Abu 2022 Commerce Question 40. It is one of the objective questions from the 2022 Post Utme Abu Commerce examination.

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