Waec Model Questions Vol1 2023 Economics Question 5

Practice objective / multiple choice question 5 from the 2023 Waec Model Questions Vol1 Economics examination.

Waec Model Questions Vol1 2023 Economics Objective / Multiple Choice Medium Difficulty
Question 5 WAEC_MODEL_QUESTIONS_VOL1 • 2023 • ECONOMICS • objective

A monopolist faces the linear demand curve P = 500 - 2Q, where P is the price per unit (₦) and Q is the quantity sold (in thousands of units). The firm's total cost function is TC = 100 + 40Q + Q² (costs in ₦ thousands). Determine the profit‑maximising output (in thousands of units), the corresponding price, and the monopoly profit (in ₦).

Answer Options

Correct Answer A. Output ≈ 76.7 thousand units; Price ≈ ₦346.7; Profit ≈ ₦17.53 million
B. Output ≈ 62.5 thousand units; Price ≈ ₦375.0; Profit ≈ ₦15.00 million
C. Output ≈ 85.0 thousand units; Price ≈ ₦330.0; Profit ≈ ₦20.00 million
D. Output ≈ 70.0 thousand units; Price ≈ ₦340.0; Profit ≈ ₦16.50 million
Correct Answer
A
Correct Option:
Output ≈ 76.7 thousand units; Price ≈ ₦346.7; Profit ≈ ₦17.53 million

About This Question

This is Waec Model Questions Vol1 2023 Economics Question 5. It is one of the objective questions from the 2023 Waec Model Questions Vol1 Economics examination.

Difficulty level: Medium .

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