Break-even/shut-down analysis in the various markets - Jamb Economics Past Questions and Answers

Question 1:

• JAMB 2019

A demand which gives rise to the reverse of the law of demand is__________

A. Derived demand
B. Joint demand
C. Abnormal demand
D. Composite demand

Question 2:

• JAMB 2018

Adam Smith's Theory of value stated that the value of a commodity depended on________

A. The market price in a free market over a long period
B. The over-all cost of production of the commodity
C. The amount of labour expended on its production
D. Its relative scarcity at any given time

Question 3:

• JAMB 2015

What will increase the likelihood that the firms in an industry will conclude to maximize their joint profit?

A. The industry has many differentiated products
B. The industry is characterized by rapid technological change
C. The industry consist of large number of producers
D. There are significant barriers to prevent firms entering the market

Question 4:

• JAMB 1988

The output at which total revenue equals total cost is known as?

A. Profit-maximizing output
B. Break even level output
C. Loss-minizing output
D. Least-cost output

Question 5:

• JAMB 1988

Total revenue is always equal to?

A. Marginal revenue multiplied by the quantity sold
B. Average revenue plus marginal revenue
C. Marginal revenue multiplied by marginal cost
D. Average revenue multiplied by the quantity sold