EconomicsTheory of costs and revenueJAMB
A firm's fixed costs are ₦50,000, its price ₦500 a unit and its variable cost ₦300 a unit. Its break-even output is
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Answer: B. 250 units
Each unit contributes 500 − 300 = ₦200; 50,000 ÷ 200 = 250.
An AdmitMe practice question, written for the JAMB syllabus. Not an official past question.