Post Utme Rsu 2023 Commerce Question 14

Practice objective / multiple choice question 14 from the 2023 Post Utme Rsu Commerce examination.

Post Utme Rsu 2023 Commerce Objective / Multiple Choice

Question 14 POST_UTME_RSU • 2023 • COMMERCE • objective

A firm is considering two different production technologies: technology A and technology B. Technology A has a fixed cost of ₦100,000 and a variable cost of ₦200 per unit produced. Technology B has a fixed cost of ₦150,000 and a variable cost of ₦300 per unit produced. If the firm produces 1,000 units, which technology will result in lower total cost?

Correct Answer A. Technology A

B. Technology B

C. Both technologies will result in the same total cost

D. Neither technology will result in lower total cost

Correct Answer

Correct Option:

Technology A

This is Post Utme Rsu 2023 Commerce Question 14. It is one of the objective questions from the 2023 Post Utme Rsu Commerce examination.

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