Economist speaks about ‘opportunity cost’ when a consumer

A. he has the change to minimize cost

B. has to forgo one thing in order to have another

C. can equate his fix costs with his variable costs

D. is able to save part of his income

The cost which firm will incur whether it is in production or not, is referred to as

A. average cost

B. variable cost

C. opportunity cost

D. fixed cost

The location of timber and plywood industries in West Africa is mainly influenced by the availability of

A. transport

B. water

C. raw materials

D. labour supply

The main objective of setting up private businesses is to

A. protect the interest of the government

B. maximize profits

C. provide infrastructure

D. promote exports

Small firms are important for the development of a country because

A. the prices of their products are usually high

B. they render personalized services to the consumers

C. they usually produce goods for the elites

D. they do not normally provide after sales services

A limited liability company is owned by the

A. president of the country

B. workers

C. general manager

D. shareholders

The National Electrical Power Authority (NEPA) in Nigeria is a

A. Public Limited Company

B. private limited company

C. private authority

D. public corporation

When elasticity is zero the demand curve is

A. perfectly elastic

B. Perfectly inelastic

C. concave

D. downward sloping

An increase in the demand for butter reduces the demand for margarine, this type of demand is called

A. competitive demand

B. elastic demand

C. derived demand

D. composite demand

A commodity is said to have derived demand when it

A. has a joint demand with another commodity

B. is demanded by the rich only

C. is demanded for immediate consumption

D. is demanded because of what it can help to produce