Post Utme Uniport 2019 Commerce Question 26
Practice objective / multiple choice question 26 from the 2019 Post Utme Uniport Commerce examination.
A company is considering the production of a new product. The production process involves the use of a machine that requires a capital investment of ₦1.5 million. The machine has a useful life of 5 years and a residual value of ₦0.3 million. The company expects to sell the product at ₦2.5 million per unit. The variable cost per unit is ₦1.2 million, and the fixed cost per unit is ₦0.5 million. If the company wants to make a profit of ₦0.5 million, how many units of the product should it produce?
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About This Question
This is Post Utme Uniport 2019 Commerce Question 26. It is one of the objective questions from the 2019 Post Utme Uniport Commerce examination.
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