Post Utme Economics Questions
Question 311:
A firm experiences increasing returns when:
- A Costs rise faster than output
- B Revenue falls continuously
- C Output rises faster than inputs
- D Labour productivity declines
Question 312:
Which type of cost is most relevant to future choices?
- A Historical fixed expense
- B Opportunity production cost
- C Past transportation charge
- D Sunk accounting cost
Question 313:
A sunk cost refers to:
- A Cost of extra production
- B Cost that cannot be recovered
- C Cost changing with output
- D Future expected expenses
Question 314:
Large firms may enjoy bulk buying advantages through:
- A Increased communication delays
- B Decreasing specialization levels
- C Rising transportation costs
- D Purchasing economies gained
Question 315:
External economies of scale arise because of:
- A Growth of entire industry
- B Reduction in market size
- C Government revenue shortage
- D Decline in labour supply