Neco Model Questions Vol1 2021 Commerce Question 26
Practice objective / multiple choice question 26 from the 2021 Neco Model Questions Vol1 Commerce examination.
A wholesaler purchases goods at a cost price of ₦500 per unit and incurs a fixed overhead of ₦20,000 per order. He offers retailers a tiered discount on the total cost of the goods: 5 % if the order is at least 100 units, 8 % if at least 200 units, and 12 % if at least 500 units. A retailer intends to sell each unit at a fixed retail price of ₦800. To achieve a profit margin of at least 20 % on the selling price after receiving the discount, what is the smallest order quantity the retailer must purchase?
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About This Question
This is Neco Model Questions Vol1 2021 Commerce Question 26. It is one of the objective questions from the 2021 Neco Model Questions Vol1 Commerce examination.
Difficulty level: Medium .
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