Post Utme Uniosun 2019 Commerce Question 14

Practice objective / multiple choice question 14 from the 2019 Post Utme Uniosun Commerce examination.

Post Utme Uniosun 2019 Commerce Objective / Multiple Choice
Question 14 POST_UTME_UNIOSUN • 2019 • COMMERCE • objective

A firm is considering two transportation methods for a new product. Method A requires a fixed cost of ₦50,000 and a variable cost of ₦100 per unit. Method B requires a fixed cost of ₦30,000 and a variable cost of ₦120 per unit. If the selling price of the product is ₦200 per unit, what is the break-even point for each method?

Answer Options

Correct Answer A. Method A: 500 units, Method B: 250 units
B. Method A: 250 units, Method B: 500 units
C. Method A: 1,000 units, Method B: 1,500 units
D. Method A: 1,500 units, Method B: 1,000 units
Correct Answer
A
Correct Option:
Method A: 500 units, Method B: 250 units

About This Question

This is Post Utme Uniosun 2019 Commerce Question 14. It is one of the objective questions from the 2019 Post Utme Uniosun Commerce examination.

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