Post Utme Uniosun 2024 Commerce Question 21

Practice objective / multiple choice question 21 from the 2024 Post Utme Uniosun Commerce examination.

Post Utme Uniosun 2024 Commerce Objective / Multiple Choice

Question 21 POST_UTME_UNIOSUN • 2024 • COMMERCE • objective

A company is considering two different production methods for its new product. Method A involves a higher initial investment but lower production costs, while Method B involves a lower initial investment but higher production costs. If the company expects to produce 10,000 units per year for 5 years, and the market price of the product is ₦500 per unit, which production method should the company choose?

Answer Options

Correct Answer A. Method A

B. Method B

C. Method A and Method B are equally profitable

D. More information is needed to make a decision

Correct Answer

Correct Option:

Method A

About This Question

This is Post Utme Uniosun 2024 Commerce Question 21. It is one of the objective questions from the 2024 Post Utme Uniosun Commerce examination.

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