Post Utme Uniosun 2019 Commerce Question 12

Practice objective / multiple choice question 12 from the 2019 Post Utme Uniosun Commerce examination.

Post Utme Uniosun 2019 Commerce Objective / Multiple Choice
Question 12 POST_UTME_UNIOSUN • 2019 • COMMERCE • objective

A firm is considering two production methods for a new product. Method A requires an initial investment of ₦1.5 million and produces 10,000 units per month. Method B requires an initial investment of ₦2 million and produces 15,000 units per month. If the selling price of the product is ₦500 per unit, what is the break-even point for each method?

Answer Options

Correct Answer A. Method A: 5,000 units, Method B: 10,000 units
B. Method A: 10,000 units, Method B: 5,000 units
C. Method A: 15,000 units, Method B: 20,000 units
D. Method A: 20,000 units, Method B: 15,000 units
Correct Answer
A
Correct Option:
Method A: 5,000 units, Method B: 10,000 units

About This Question

This is Post Utme Uniosun 2019 Commerce Question 12. It is one of the objective questions from the 2019 Post Utme Uniosun Commerce examination.

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