Concepts Of Revenue Jamb Economics Past Questions
Question 1
Marginal cost is?
- A. the lowest cost of producing goods
- B. the cost of production of the most efficient firm in an industry
- C. the cost of production of the most inefficient firm in an industry
- D. the cost of production of the last or extra unit of goods produced by a firm
Question 2
Using the table calculate the net income
- A. N58m
- B. N54m
- C. N50m
- D. N46m
Question 3
In perfect competition a firm's price is equal to its marginal revenue which is again equal to average revenue. This form maximizes its profits when its marginal cost (MC) is equal to price (p). Which of the curves in the diagram below represents the firm's marginal cost (MC)?
- A. Curve I
- B. Curve ll
- C. Curve lll
- D. Curve lV
- E. Curves l and lll
Question 4
If a monopolist is incurring short-run losses, this means that his
- A. selling price is above the short-run marginal cost
- B. selling price is below the short-run marginal cost
- C. average revenue is greater than marginal revenue
- D. average reveune is less than marginal revenue
Question 5
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
