All the following are the canons of taxation given by Adam Smith except
Answer
(A)
objective
19
Census can be classified as
Answer
(A)
defacto and dejure
20
A firm that charges the maximum price without attracting competition from new entrants is
Answer
(C)
Monopolistic firm
21
A monopolist has the power to influence the prices of goods and services. Therefore, he is a
Answer
(A)
price maker
22
Which of the following business units can issue shares?
Answer
(B)
Public limited liability company
23
Which of the following are examples of transfer payment
Answer
(A)
gift and donations
24
The technical relationship between the physical inputs and the physical outputs of a firm is
Answer
(D)
Production function
25
The income elasticity of demand of normal goods is
Answer
(B)
positive
26
The following equations relate to an open economy with a government sector. E = aggregate expenditure on domestically produced goods, C = Consumption, I = Investment, G = Government expenditure, T = taxes, M = imports, X = Exports. Which equation is correct
The marginal product at the fifth variable factor is
Answer
(A)
7
34
The financial institution known as a building society is
Answer
(C)
mortgage bank
35
A line in commodity space which shows the constraints imposed by his budget, his money income and the price of goods purchased is
Answer
(C)
Budget line
36
The information that rank a consumer preferences is given by
Answer
(A)
Scale of preference
37
The ownership of a public limited liability company is made up of
Answer
(C)
minimum of seven and no maximum number
38
All the following are types of specialization except
Answer
(A)
Manager Specialization
39
A market will be at equilibrium when
Answer
(A)
demand and supply are equal
40
Which of the following will shift the demand curve for Bournvita to the right
Answer
(B)
an increase in income
41
Find the range in the following data 9, 15, 6, 20, 24, 18, 12, 8, 20, 10, 5.
Answer
(C)
19
42
All the following are properties of an indifference curves except
Answer
(A)
it can intersect
43
Isocost and isoquant can be attributed to
Answer
(C)
Theory of production
44
The line Y in the diagram represents
Answer
(C)
fixed cost
45
The curve labeled II illustrates a system of taxation
Answer
(A)
proportional tax
46
The curve labeled III illustrate a system of taxation
Answer
(A)
regressive tax
47
What would be likely to increase inflation in any economy?
Answer
(A)
Increase in demand
48
The term of trade can be expressed as
Answer
(C)
(Price index of export ÷ Price index of import)× 100
49
The income of an individual increases from N150 to N250 and his consumption rate increases from N100 to N150. Calculate the Marginal Propensity to Consume
Answer
(D)
0.5
50
The study of broad economic aggregates is
Answer
(A)
Macro economics
51
Disposable income is total income
Answer
(A)
less tax
52
In which of the following economic systems do we have the means of production and exchange controlled by private individuals
Answer
(C)
capitalist system
53
The situation whereby the government of a country spends more than its budgets for a given financial year is known as
Answer
(B)
deficit budget
54
The total stock of money available for use in an economy is
Answer
(A)
supply of money
55
What does the accelerator principles state?
Answer
(C)
Investment is a function of the rate of change of income
56
A major limiting factor of mass production is
Answer
(C)
small size of the market
57
When elasticity is zero, demand curve is
Answer
(B)
perfectly inelastic
58
In a situation where Mux represent the marginal utility of product X while Px represent the price respectively. Utility can be maximized when
Answer
(B)
MUX = PX
59
Which of the following could be used to measure the efficiency of labour?
Answer
(B)
input-output ratio
60
How can a firm benefit from external economies?
Answer
(C)
Locating in an area in which the industry is already established
61
A smaller industry that grows to cater for the need of the major industry is
Answer
(A)
subsidiary industry
62
In the diagram, the consumer budget line shift from JK to GH. What can definitely be deduced from the diagram?
Answer
(B)
There has been a reduction in the price of both A and B
63
What would encourage the growth of international division of labour?
Answer
(A)
Improvement in transport system
64
The demand and supply functions of commodity x are given as follows: Qd = 20- 2p, Qs = 6p - 12 where p = price, Qd = quantity demanded and Qs = quantity supplied. Determine the equilibrium price
Answer
(A)
N4
65
The practice of selling goods overseas and often below the cost of production is known as
