Most of the problems of economics arises as a result of
Answer
(A)
competing demand for scarce resources
3
which of the following tool of economic analysis is used when data contains more than one category?
Answer
(B)
component bar charts
4
The reward to capital as a factor of production is
Answer
(C)
interest
5
mining is an example of
Answer
(B)
primary production
6
An owner-manager of a firm can also be called
Answer
(B)
an entrepreneur
7
If the fixed cost of a firm is 800.00 Naira and it's variable cost is 2,700 Naira while it's total output is 100 units, what is the average cost of the firm?
Answer
(B)
35 Naira
8
Distribution of goods and service is hindered by
Answer
(C)
too many middlemen
9
A movement along the same demand curve either upwards or downwards as a result of change in price implies
Answer
(B)
a change in quantity demanded
10
middlemen in an economy perform the function of
Answer
(A)
distribution
11
one of the factors affecting geographical distribution of population is
Answer
(D)
climate conditions of the different parts of the country
12
Standardization of products or services is a feature of
Answer
(A)
large firms
13
The amount of satisfaction obtained from the consumption of a commodity at a particular time is called
Answer
(C)
total utility
14
what are inferior goods? These are goods
Answer
(C)
whose demand falls as income increase
15
In the analysis of utility theory, the basis of demand is
Answer
(A)
marginal utility
16
In the normal market situation , when the price of a commodity rises the
Answer
(B)
demand for the commodity will fall
17
when the quantity of a commodity supplied increases and the quantity demanded decreases , there will be
Answer
(D)
a fall in price
18
the market price of a commodity is normally determined by the
Answer
(B)
interaction of the force of demand and supply
19
The mechanism which allows the price of a commodity to be fixed either above or below the equilibrium is known as
Answer
(D)
price control
20
A debenture holder is entitled to payment in the form of
Answer
(B)
interest
21
The main difference between a private and a public enterprises is the
Answer
(C)
objective of the business
22
The total amount of money raised by a company through issuance of shares to the public is
Answer
(C)
ordinary shares
23
buying and selling of shares is a function performed mostly by the
Answer
(B)
stock exchanges
24
which of the following is not a reason for establishing public enterprises?
Answer
(A)
discouraging investors
25
For a monopolist, the average revenue (AR) curve is
Answer
(C)
above the marginal revenue curve
26
advertising expenses would not be necessary under perfect competition because
Answer
(A)
consumers would have complete knowledge of goods
27
The equilibrium level of output of a monopolist is determined at a point where
Answer
(C)
marginal cost equals marginal revenue
28
Which of the following is a legal tender in West Africa?
Answer
(D)
Currency
29
The policy of government to increase the supply of money to meet its own expenditure plans is likely to be
Answer
(C)
inflationary
30
The tendency for prices to rise while the value of money fall is known as
Answer
(B)
inflation
31
One way to solve the economic problem of inflation in a country is by increasing the
Answer
(A)
supply of commodities
32
The motive for holding money for investing in securities is referred to as
Answer
(B)
speculative
33
A cheque book is issued to customers of a bank operating a
Answer
(C)
current account
34
Amount proposed for payment of wages and salaries in a budget is regarded as part of
Answer
(A)
recurrent expenditure
35
The difference between the Gross National Products (GNP) and the Gross Domestic Product (GDP) is
Answer
(D)
net income from abroad
36
which of the following agricultural system is mainly for the cultivation of food crops for family consumption?
Answer
(C)
Subsistence farming
37
Agriculture is important to the economy of West African countries because it is the source of
Answer
(C)
industrial input
38
The economic system in which the state takes the economic decision s through detailed planning is
Answer
(B)
socialism
39
A mixed economy combines the characteristics of both
Answer
(A)
planned and capitalist economies
40
In a rapidly growing economy, a change in technology which is labour saving is likely to cause
Answer
(B)
structural unemployment
41
which of the following is a form of tax evasion?
Answer
(A)
wrong declaration of earnings
42
where the burden of a tax finally rests is called
Answer
(C)
incidence of taxation
43
An increase in the quantity of goods and services produced in a country which raises her national income is known as
Answer
(B)
economic growth
44
The formula index of export prices/index of import prices * 100
is used to measure the
