Post Utme Delsu 2018 Commerce Question 4

Practice objective / multiple choice question 4 from the 2018 Post Utme Delsu Commerce examination.

Post Utme Delsu 2018 Commerce Objective / Multiple Choice
Question 4 POST_UTME_DELSU • 2018 • COMMERCE • objective

A company has two warehouses, A and B, with capacities of 5,000 and 3,000 units respectively. The storage cost per unit in warehouse A is ₦5 and in warehouse B is ₦7. If the demand rate is 1,000 units per year, what is the optimal allocation of units between the two warehouses using the Least Cost Method?

Answer Options

A. Warehouse A: 2,000 units, Warehouse B: 3,000 units
Correct Answer B. Warehouse A: 3,000 units, Warehouse B: 2,000 units
C. Warehouse A: 1,500 units, Warehouse B: 2,500 units
D. Warehouse A: 2,500 units, Warehouse B: 1,500 units
Correct Answer
B
Correct Option:
Warehouse A: 3,000 units, Warehouse B: 2,000 units

About This Question

This is Post Utme Delsu 2018 Commerce Question 4. It is one of the objective questions from the 2018 Post Utme Delsu Commerce examination.

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