Post Utme Al Hikmah University 2020 Economics Question 27

Practice objective / multiple choice question 27 from the 2020 Post Utme Al Hikmah University Economics examination.

Post Utme Al Hikmah University 2020 Economics Objective / Multiple Choice
Question 27 POST_UTME_AL-HIKMAH_UNIVERSITY • 2020 • ECONOMICS • objective

A company is considering two different production techno\logies: a traditional techno\logy that produces 100 units of output per hour and a modern techno\logy that produces 200 units of output per hour. If the company's fixed \costs are ₦100,000 and its variable \costs are ₦50 per unit, what is the break-even point for each techno\logy?

Answer Options

A. Traditional: 500 units, Modern: 1000 units
Correct Answer B. Traditional: 1000 units, Modern: 2000 units
C. Traditional: 2000 units, Modern: 3000 units
D. Traditional: 3000 units, Modern: 4000 units
Correct Answer
B
Correct Option:
Traditional: 1000 units, Modern: 2000 units

About This Question

This is Post Utme Al Hikmah University 2020 Economics Question 27. It is one of the objective questions from the 2020 Post Utme Al Hikmah University Economics examination.

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