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Revenue allocation formula in Nigeria - SS3 Government Past Questions and Answers - page 1

1

What is the principle behind Nigeria's revenue allocation formula?

A

 Derivation

B

 Equality

C

Centralization

correct option: a

 Derivation

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2

What percentage of revenue is allocated to local governments in Nigeria?

A

52.68%

B

26.72%

C

20.60%

correct option: c

20.60%

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3

Which of the following factors are considered in the allocation of state revenue in Nigeria?

A

Population

B

Land area

C

All of the above

correct option: c

All of the above

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4

Which component of revenue allocation in Nigeria supports less-developed areas?

A

13% derivation fund

B

Federal intervention fund

C

State allocation

correct option: b

Federal intervention fund

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5

What is the current percentage of revenue allocated to the federal government in Nigeria?

A

52.68%

B

26.72%

C

20.60%

correct option: a

52.68%

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6

What is the main purpose of revenue allocation formula in Nigeria?

To share government income among the federal, state, and local governments.

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7

What is the percentage allocation of revenue to states in Nigeria?

8

What is the derivation principle in the revenue allocation formula in Nigeria?

The more resources a state or region contributes to the country's economy, the more money it should receive in return.

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