Post Utme Babcock University 2025 Commerce Question 40

Practice objective / multiple choice question 40 from the 2025 Post Utme Babcock University Commerce examination.

Post Utme Babcock University 2025 Commerce Objective / Multiple Choice
Question 40 POST_UTME_BABCOCK_UNIVERSITY • 2025 • COMMERCE • objective

A company is considering two different transportation options for its products. Option A involves a fixed cost of 1000 and a variable cost of 2 per unit, while Option B involves a fixed cost of 500 and a variable cost of 3 per unit. If the company expects to sell 1000 units of the product, which option should it choose?

Answer Options

Correct Answer A. Option A
B. Option B
C. Both options are equally effective
D. Neither option is effective
Correct Answer
A
Correct Option:
Option A

About This Question

This is Post Utme Babcock University 2025 Commerce Question 40. It is one of the objective questions from the 2025 Post Utme Babcock University Commerce examination.

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