Post Utme Unilag 2022 Commerce Question 2

Practice objective / multiple choice question 2 from the 2022 Post Utme Unilag Commerce examination.

Post Utme Unilag 2022 Commerce Objective / Multiple Choice
Question 2 POST_UTME_UNILAG • 2022 • COMMERCE • objective

A company is considering the introduction of a new product line. The product has a high fixed cost of production, but the variable cost per unit is relatively low. Which of the following best describes the type of cost structure the company is likely to have?

Answer Options

Correct Answer A. Fixed cost
B. Variable cost
C. Semi-variable cost
D. Sunk cost
Correct Answer
A
Correct Option:
Fixed cost

About This Question

This is Post Utme Unilag 2022 Commerce Question 2. It is one of the objective questions from the 2022 Post Utme Unilag Commerce examination.

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