Post Utme Elizade University 2023 Economics Question 23

Practice objective / multiple choice question 23 from the 2023 Post Utme Elizade University Economics examination.

Post Utme Elizade University 2023 Economics Objective / Multiple Choice
Question 23 POST_UTME_ELIZADE_UNIVERSITY • 2023 • ECONOMICS • objective

A firm is considering two different production methods to produce a certain good. Method A requires an initial investment of ₦100,000 and has a variable \cost of ₦50 per unit produced. Method B requires an initial investment of ₦150,000 and has a variable \cost of ₦30 per unit produced. If the firm produces 10,000 units, what is the total \cost of production for each method?

Answer Options

Correct Answer A. Method A: ₦500,000, Method B: ₦400,000
B. Method A: ₦450,000, Method B: ₦550,000
C. Method A: ₦600,000, Method B: ₦450,000
D. Method A: ₦350,000, Method B: ₦650,000
Correct Answer
A
Correct Option:
Method A: ₦500,000, Method B: ₦400,000

About This Question

This is Post Utme Elizade University 2023 Economics Question 23. It is one of the objective questions from the 2023 Post Utme Elizade University Economics examination.

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