Post Utme Ui 2025 Commerce Question 4

Practice objective / multiple choice question 4 from the 2025 Post Utme Ui Commerce examination.

Post Utme Ui 2025 Commerce Objective / Multiple Choice
Question 4 POST_UTME_UI • 2025 • COMMERCE • objective

A company is considering the introduction of a new product line. The product has a high fixed cost of ₦50,000 and a variable cost of ₦10 per unit. The selling price of the product is ₦20 per unit. Using the high-low method, what is the contribution margin per unit?

Answer Options

Correct Answer A. ( ext{Contribution margin} = 20 - 10 = 10 )
B. ( ext{Contribution margin} = 20 - 5 = 15 )
C. ( ext{Contribution margin} = 20 - 10 = 10 )
D. ( ext{Contribution margin} = 20 - 5 = 15 )
Correct Answer
A
Correct Option:
( ext{Contribution margin} = 20 - 10 = 10 )

About This Question

This is Post Utme Ui 2025 Commerce Question 4. It is one of the objective questions from the 2025 Post Utme Ui Commerce examination.

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