Post Utme Lead City University 2019 Commerce Question 39

Practice objective / multiple choice question 39 from the 2019 Post Utme Lead City University Commerce examination.

Post Utme Lead City University 2019 Commerce Objective / Multiple Choice
Question 39 POST_UTME_LEAD_CITY_UNIVERSITY • 2019 • COMMERCE • objective

A firm is considering a new production process that will increase its output by 25%. However, the new process will also increase its variable costs by 30%. What will be the effect on the firm's profit?

Answer Options

A. Profit will increase by 15%
B. Profit will decrease by 15%
C. Profit will remain unchanged
D. Profit will increase by 20%
Correct Answer
N/A

About This Question

This is Post Utme Lead City University 2019 Commerce Question 39. It is one of the objective questions from the 2019 Post Utme Lead City University Commerce examination.

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