Post Utme Futa 2023 Economics Question 36

Practice objective / multiple choice question 36 from the 2023 Post Utme Futa Economics examination.

Post Utme Futa 2023 Economics Objective / Multiple Choice
Question 36 POST_UTME_FUTA • 2023 • ECONOMICS • objective

A firm is facing a demand curve for its product given by Q = 100 - 2P, where Q is the quantity demanded and P is the price. The firm's total revenue function is given by TR = PQ. U\sing the concept of elasticity of demand, explain why the firm might choose to increase the price of its product.

Answer Options

Correct Answer A. The firm wants to increase its total revenue.
B. The firm wants to decrease its total revenue.
C. The firm wants to increase its elasticity of demand.
D. The firm wants to decrease its elasticity of demand.
Correct Answer
A
Correct Option:
The firm wants to increase its total revenue.

About This Question

This is Post Utme Futa 2023 Economics Question 36. It is one of the objective questions from the 2023 Post Utme Futa Economics examination.

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