Gce Model Questions Vol1 2024 Commerce Question 41
Practice objective / multiple choice question 41 from the 2024 Gce Model Questions Vol1 Commerce examination.
An exporter in Nigeria wishes to earn a profit of \(20\%\) on the total cost of a shipment that costs ₦2,500,000. The goods are priced in US dollars. The current exchange rate is ₦780 per US$1, but it is expected to rise by \(4\%\) before the payment is received. An export duty of \(5\%\) is levied on the US‑dollar selling price (before conversion). What is the minimum US‑dollar selling price (before duty) that the exporter must quote to achieve the desired profit after the duty and the exchange‑rate change? Give your answer in dollars to two decimal places.
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About This Question
This is Gce Model Questions Vol1 2024 Commerce Question 41. It is one of the objective questions from the 2024 Gce Model Questions Vol1 Commerce examination.
Difficulty level: Medium .
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