Waec Model Questions Vol1 2023 Geography Question 38
Practice objective / multiple choice question 38 from the 2023 Waec Model Questions Vol1 Geography examination.
A small factory currently produces 5,000 units of a product each month. Fixed costs are ₦2,000,000 per month and the variable cost per unit is ₦150. The selling price per unit is ₦250. The factory can increase output by 20% if it hires 10 additional workers, each costing ₦30,000 per month, and the variable cost per unit would then fall by 5% because of economies of scale. Should the factory expand production to maximise profit? State your recommendation.
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About This Question
This is Waec Model Questions Vol1 2023 Geography Question 38. It is one of the objective questions from the 2023 Waec Model Questions Vol1 Geography examination.
Difficulty level: Hard .
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