WAEC Past Questions and Answers - Page 3219

16,091.

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

Correct answer is D

No explanation has been provided for this answer.

16,092.

In which situation is it likely that the demand for labour would be inelastic?

A.

Labour and capital are close substitutes

B.

Labour costs are only a small proportion of total costs

C.

Demand for the final product that the labour produces is elastic

D.

A large quantity of unemployed labour is available in the economy

Correct answer is B

When specialised labour or capital is needed, then the demand for labour will be more inelastic with respect to the wage rate. 

16,093.

The combination of two commodities each yielding the same level of satisfaction to the consumer is

A.

Consumer surplus

B.

Indifference curve

C.

Budget constant

D.

Goods of necessity

Correct answer is B

An indifference curve is a graph showing combination of two goods that give the consumer equal satisfaction and utility.

16,094.

All the following are factors that would bring about a change in supply except​​​​​​​

A.

Level of technology

B.

Government policy

C.

Entry of new firms

D.

Price of the commodity

Correct answer is C

Factors Affecting the Supply of a Commodity

  • i. Price of the given Commodity
  • ii. Cost of Production:
  • iii. Natural Conditions
  • iv. State of Technology
  • v. Transport Conditions
  • vi. Factor Prices and their Availability
  • vii. Government's Policies
  • viii. Prices of Related Goods

16,095.

Revenue can be expressed as

A.

Total Profit made after sales

B.

Amount of goods produced

C.

Total money realized from sales

D.

Amount spent on purchases

Correct answer is C

Revenue can be defined as the income generated by a firm from the sales of its goods and services.