Post Utme Bells University 2025 Commerce Question 22

Practice objective / multiple choice question 22 from the 2025 Post Utme Bells University Commerce examination.

Post Utme Bells University 2025 Commerce Objective / Multiple Choice
Question 22 POST_UTME_BELLS_UNIVERSITY • 2025 • COMMERCE • objective

A company is considering two different production processes to produce a product. Process A requires an initial investment of ₦100,000 and has a variable cost of ₦50 per unit produced. Process B requires an initial investment of ₦150,000 and has a variable cost of ₦30 per unit produced. If the company produces 1000 units of the product, what is the total cost of production for each process?

Answer Options

Correct Answer A. Process A: ₦150,000, Process B: ₦120,000
B. Process A: ₦120,000, Process B: ₦150,000
C. Process A: ₦100,000, Process B: ₦100,000
D. Process A: ₦150,000, Process B: ₦150,000
Correct Answer
A
Correct Option:
Process A: ₦150,000, Process B: ₦120,000

About This Question

This is Post Utme Bells University 2025 Commerce Question 22. It is one of the objective questions from the 2025 Post Utme Bells University Commerce examination.

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