If a firm doubles its output and its cost increase by 60%, the firm is experiencing
- A. increase cost
- B. economies of scale
- C. decreasing returns
- D. decreasing cost
- E. none of the above
Which is NOT a method of raising capital funds in Nigeria?
- A. Borrowing from abroad
- B. Internal borrowing
- C. Nigerianization of foreign companies
- D. Gifts from abroad
- E. Saling government bonds
Which sector can you say is growing fastest in the Nigeria economy?
- A. Agriculture
- B. Industry
- C. Education
- D. Transport
- E. Labour
Mr.A earns N300 and pays N15 in tax. Mr. B earns N100 and pays N6 in tax. This tax system can be described as?
- A. proportional tax
- B. progressive tax
- C. competitive tax
- D. excise tax
- E. regressive tax
If the price of a commodity falls and the quantity purchased of it does not rise, the commodity can be described as
- A. normal
- B. abnormal
- C. inferior
- D. superior
- E. scarce
A limited liability company is owned by?
- A. an individual
- B. two or more partners
- C. shareholders
- D. government
- E. a bank
Division of labour means?
- A. the labour is divided into different section
- B. the work is divided into different parts to be completed by each labour
- C. production is completed by the different department of a factory
- D. commodities are produced at different times by a single labourer
- E. the labour force in the country is not united
By subsistence production we mean?
- A. goods and services are produced for consumption only
- B. goods and services are sold to others
- C. raw materials are produced in the country
- D. goods and services are produced for the market
- E. none of these
An economic problem arises when?
- A. manufactured goods are in short supply
- B. money is in short supply
- C. buyers are many
- D. sellers are few
- E. scarcity and choice are involved
The budget of Nigeria will be deficit if
- A. revenue expenditure exceeds the revenue receipts
- B. capital expenditure exceeds the capital receipts
- C. revenue and capital receipts exceeds revenue and capital receipts
- D. the government is spending more than its receipts
- E. all of the above
Which would you NOT consider an advantage of one-man business?
- A. freedom of action
- B. limited liabiities
- C. Quick decision-making
- D. Personal contact with customers
- E. none o the albove
Nigeria earns the major part of her foreign exchange from the export of?
- A. manpower to another countries
- B. crude oil
- C. petroleum products
- D. groundnuts and cotton
- E. palm oil and cocoa
By balance of visible trade we mean?
- A. import and export of goods
- B. import and export of service
- C. balance of current account in the balance of payment
- D. balance of capital account in the baalance of payment
- E. all of this
International trade arise because?
- A. one country has more abundant resource
- B. one country has the technology to produce the commodity whilst the other has not
- C. one country has the maximum comparative advantage or minimum comparative disadvantage in the production
- D. one country has manpower to produce the commodity than the country
- E. All of the above
Utility of a commodity means?
- A. its usefulness
- B. power to satisfy a want
- C. price of the commodity
- D. satisfaction derived from the product of commodity
- E. its adaptability
Commercial banks can create money in the following ways?
- A. by using coins and paper money
- B. by borrowing money from banks abroad
- C. by receiving deposit from individuals
- D. by printing money on the instruction of the central bank
- E. none of the above
Which is NOT a cause of high population growth in Nigeria?
- A. Family planing Unit of Nigeria
- B. Improve medical facilities
- C. Reduction in death rate
- D. Improve hygiene
- E. Increased birth rate
Which is NOT a function of Central Bank in West Africa
- A. Dealing in foreign exchange
- B. Issuing of currency
- C. Accepting deposit from private customers
- D. Acting as government bank
- E. Acting as bankers bank
Price control indicate the following
- A. price is fixed at equilibrium level
- B. price is fixed above equilibrium level
- C. price is not fixed but determined by demand and supply
- D. price is fixed below equilibrium level
- E. none of the above
Which would you NOT consider an agro-based industry in Nigeria?
- A. a diary enterprise producing milk
- B. a yam floor mill
- C. a poultry industry
- D. a fertilizer plant
- E. none of the above
From an economic point of view, an activity does not have a cost when
- A. someone else pays for it
- B. the returns are greater than the cost
- C. the choice involves giving up nothing
- D. the government pays for it
- E. it is paid for from a gift