Post Utme Oau 2020 Economics Question 29

Practice objective / multiple choice question 29 from the 2020 Post Utme Oau Economics examination.

Post Utme Oau 2020 Economics Objective / Multiple Choice
Question 29 POST_UTME_OAU • 2020 • ECONOMICS • objective

A firm is considering two different production processes. Process A has a fixed \cost of ₦100,000 and a variable \cost of ₦500 per unit produced. Process B has a fixed \cost of ₦150,000 and a variable \cost of ₦300 per unit produced. If the firm produces 200 units, which process should it choose?

Answer Options

Correct Answer A. Process A
B. Process B
C. Both processes are equally profitable
D. Neither process is profitable
Correct Answer
A
Correct Option:
Process A

About This Question

This is Post Utme Oau 2020 Economics Question 29. It is one of the objective questions from the 2020 Post Utme Oau Economics examination.

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support