Jamb Economics 2000 Past Questions and Answers

Question 11:

• JAMB 2000

In a small scale business, the fixed cost is N5,000, variable cost is N15,000 and the output is 500 units. What will be the unit cost of the goods?

A. N400.00
B. N80.00
C. N40.00
D. N20.00

Question 12:

• JAMB 2000

External dis-economies of scale result from excessive growth of?

A. The whole industry
B. Some sectors of the industry
C. External factors
D. Internal factors

Question 13:

• JAMB 2000

If a total cost curve is plotted, marginal cost can be illustrated by the?

A. Slope of the tangent to the curve at any given output
B. U-shaped curve cutting the total cost curve at its lowest point
C. Straight line from the origin to the mid-point of the curve
D. Straight line cutting the curve at its highest point

Question 14:

• JAMB 2000

The short-run equilibrium in a perfectly competitive market requires that?

A. Marginal cost be equal to total revenue
B. Marginal cost and marginal revenue be equal
C. Costs are mutually determined by buyers and sellers
D. The marginal cost curve cuts the total cost curve

Question 15:

• JAMB 2000

At the point where marginal revenue of a monopolist is equal zero, its total revenue will be?

A. Falling
B. Rising
C. Equal to zero
D. Maximum