WAEC Economics Past Questions & Answers - Page 241

1,201.

In calculating the Gross National Product (GNP) by the income approach, all the following are included except

A.

Wages and salaries

B.

Direct taxes paid by persons and companies

C.

Rents on houses

D.

Retirement benefits

E.

Business profits

Correct answer is D

No explanation has been provided for this answer.

1,202.

Development banks mainly provides

A.

Savings account facilities for a developing economy

B.

Foreign exchange facilities for importers and exporters

C.

Capital for development of specific sectors

D.

Capital for hire-purchase of machinery

E.

Capital for the development of special banks

Correct answer is C

No explanation has been provided for this answer.

1,203.

Deficit financing means

A.

Receiving grants from the IMF

B.

Having budget surplus

C.

Excessive government spending on banks

D.

Borrowing to finance a budget

E.

Inadequate supply of money from the finance companies

Correct answer is D

No explanation has been provided for this answer.

1,204.

Which of the following is a bank's responsibility to it's shareholders?

A.

Making profits

B.

Creating money

C.

Paying high interest rate

D.

Preventing inflation

E.

Issuing currencies

Correct answer is A

No explanation has been provided for this answer.

1,205.

The study of Economics enables the individuals to

A.

Be misserly in the spending of his money

B.

Derive maximum satisfaction from the money he spends

C.

Determines the right market to visit

D.

Avoids purchase of luxurious items

E.

Derive solution to all problems

Correct answer is B

No explanation has been provided for this answer.