Gce Model Questions Vol1 2024 Agricultural Science Question 22

Practice objective / multiple choice question 22 from the 2024 Gce Model Questions Vol1 Agricultural Science examination.

Gce Model Questions Vol1 2024 Agricultural Science Objective / Multiple Choice Hard Difficulty
Question 22 GCE_MODEL_QUESTIONS_VOL1 • 2024 • AGRICULTURAL_SCIENCE • objective

An extension officer plans a programme to promote a new high‑yield maize variety. The cost of the programme per farmer is \(\text{₦}12{,}000\). The variety can increase yield by 1.8 t ha⁻¹. Adoption probability depends on farm size: farms ≤2 ha adopt with probability 0.6, farms >2 ha up to 5 ha adopt with probability 0.8, and farms >5 ha adopt with probability 0.5. The farmer population is distributed as follows: 30 % have ≤2 ha (average 1.5 ha), 50 % have 2-5 ha (average 3.5 ha), and 20 % have >5 ha (average 7 ha). Market price of maize is \(\text{₦}150\) per kg and variable production cost (excluding extension) is \(\text{₦}40\) per kg. Calculate the expected net benefit per farmer (revenue increase minus additional variable cost minus the programme cost) and state whether the programme is economically justified.

Answer Options

A. Expected net benefit ≈ ₦500,000 per farmer; programme is justified
Correct Answer B. Expected net benefit ≈ ₦457,260 per farmer; programme is justified
C. Expected net benefit ≈ ₦-15,000 per farmer; programme is not justified
D. Expected net benefit ≈ ₦350,000 per farmer; programme is justified
Correct Answer
B
Correct Option:
Expected net benefit ≈ ₦457,260 per farmer; programme is justified

About This Question

This is Gce Model Questions Vol1 2024 Agricultural Science Question 22. It is one of the objective questions from the 2024 Gce Model Questions Vol1 Agricultural Science examination.

Difficulty level: Hard .

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