2002 - WAEC Economics Past Questions and Answers - page 2
11
Economist speaks about ‘opportunity cost’ when a consumer
A
he has the change to minimize cost
B
has to forgo one thing in order to have another
C
can equate his fix costs with his variable costs
D
is able to save part of his income
correct option: b
Users' Answers & Comments12
The cost which firm will incur whether it is in production or not, is referred to as
A
average cost
B
variable cost
C
opportunity cost
D
fixed cost
correct option: d
Users' Answers & Comments13
The location of timber and plywood industries in West Africa is mainly influenced by the availability of
A
transport
B
water
C
raw materials
D
labour supply
correct option: c
Users' Answers & Comments14
The main objective of setting up private businesses is to
A
protect the interest of the government
B
maximize profits
C
provide infrastructure
D
promote exports
correct option: b
Users' Answers & Comments15
small firms are important for the development of a country because
A
the prices of their products are usually high
B
they render personalized services to the consumers
C
they usually produce goods for the elites
D
they do not normally provide after sales services
correct option: b
Users' Answers & Comments16
A limited liability company is owned by the
A
president of the country
B
workers
C
general manager
D
shareholders
correct option: d
Users' Answers & Comments17
The National Electrical Power Authority (NEPA) in Nigeria is a
A
Public Limited Company
B
private limited company
C
private authority
D
public corporation
correct option: d
Users' Answers & Comments18
When elasticity is zero the demand curve is
A
perfectly elastic
B
Perfectly inelastic
C
concave
D
downward sloping
correct option: b
Users' Answers & Comments19
An increase in the demand for butter reduces the demand for margarine, this type of demand is called
A
competitive demand
B
elastic demand
C
derived demand
D
composite demand
correct option: a
Users' Answers & Comments20
A commodity is said to have derived demand when it
A
has a joint demand with another commodity
B
is demanded by the rich only
C
is demanded for immediate consumption
D
is demanded because of what it can help to produce
correct option: d
Users' Answers & Comments