Neco Model Questions Vol1 2025 Geography Question 41

If a textile company plans to produce (10,000) units of fabric per year, each unit requiring (2) kg of raw cotton and weighing (0.5) kg after processing, the transport cost for raw cotton is ₦(50) per kilometre per tonne and for the finished fabric is ₦(30) per kilometre per tonne. Three possible sites are under consideration: - Site A: distance to cotton source (40) km, distance to market (120) km, annual land cost ₦(2,000,000). - Site B: distance to cotton source (80) km, distance to market (80) km, annual land cost ₦(1,500,000). - Site C: distance to cotton source (20) km, distance to market (150) km, annual land cost ₦(2,500,000). Assuming only transport and land costs are relevant, which site gives the lowest total annual cost? State the site (A, B or C).