Neco 2021 Commerce Question 3
Practice essay / theory question 3 from the 2021 Neco Commerce examination. This question covers Home Trade, Pricing, Profit calculation, Discounts, Break‑even analysis .
A small retail shop purchases a batch of 500 units of a product at a total cost of ₦250,000. The shop intends to sell the product at a uniform selling price per unit. The owner plans the following pricing strategy: - Set a markup of 40% on the cost price per unit. - Offer a discount of 10% on the marked price to customers who buy 20 units or more in a single purchase. - Fixed monthly overhead expenses (rent, utilities, salaries) amount to ₦30,000. Assume that in a typical month the shop sells 350 units, of which 120 units are bought under the discount scheme. Answer the following:
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This is Neco 2021 Commerce Question 3. It is one of the essay questions from the 2021 Neco Commerce examination.
The question covers Home Trade, Pricing, Profit calculation, Discounts, Break‑even analysis .
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