Neco Model Questions Vol1 2018 Commerce Question 5
Practice objective / multiple choice question 5 from the 2018 Neco Model Questions Vol1 Commerce examination.
A warehouse charges storage fees based on volume as follows: \(\text{₦}150\) per cubic metre per month for the first 100 m³, \(\text{₦}120\) per cubic metre per month for the next 200 m³ (i.e., from 100 m³ up to 300 m³), and \(\text{₦}100\) per cubic metre per month for any volume above 300 m³. In addition there is a fixed handling charge of \(\text{₦}2,500\) per month regardless of volume. A client wishes to store goods for 4 months and the total cost must not exceed 20 % of the expected revenue of \(\text{₦}500,000\). What is the maximum total volume (in cubic metres, to one decimal place) the client can store without breaching the cost constraint?
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About This Question
This is Neco Model Questions Vol1 2018 Commerce Question 5. It is one of the objective questions from the 2018 Neco Model Questions Vol1 Commerce examination.
Difficulty level: Hard .
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