2006 - WAEC Economics Past Questions and Answers - page 3
21
The main difference between a private and a public enterprises is the
A
amount of profit realized
B
mode of operation
C
objective of the business
D
ownership structure
correct option: c
Users' Answers & Comments22
The total amount of money raised by a company through issuance of shares to the public is
A
debentures
B
nominal capital
C
ordinary shares
D
paid-up capital
correct option: c
Users' Answers & Comments23
buying and selling of shares is a function performed mostly by the
A
insurance companies
B
stock exchanges
C
merchant banks
D
discount houses
correct option: b
Users' Answers & Comments24
which of the following is not a reason for establishing public enterprises?
A
discouraging investors
B
opening up neglected parts of the country
C
effective control of a natural monopoly
D
rapid economic development
correct option: a
Users' Answers & Comments25
For a monopolist, the average revenue (AR) curve is
A
above the total curve
B
the same as the marginal cost curve
C
above the marginal revenue curve
D
the same as that of the perfect competitor
correct option: c
Users' Answers & Comments26
advertising expenses would not be necessary under perfect competition because
A
consumers would have complete knowledge of goods
B
cost of production would be at the maximum level
C
every firm would enjoy the benefits of large scale production
D
income of the consumers in the community would be high
correct option: a
Users' Answers & Comments27
The equilibrium level of output of a monopolist is determined at a point where
A
marginal cost equals average revenue
B
marginal cost equals acerage cost
C
marginal cost equals marginal revenue
D
marginal revenue equals average cost
correct option: c
Users' Answers & Comments28
Which of the following is a legal tender in West Africa?
A
Treasury Bill
B
Share
C
Credit card
D
Currency
correct option: d
Users' Answers & Comments29
The policy of government to increase the supply of money to meet its own expenditure plans is likely to be
A
speculative
B
deflationary
C
inflationary
D
contractionary
correct option: c
Users' Answers & Comments30
The tendency for prices to rise while the value of money fall is known as
A
bills of exchange
B
inflation
C
depreciation
D
deflation
correct option: b
Users' Answers & Comments