Neco 2022 Economics Question 11

Practice objective / multiple choice question 11 from the 2022 Neco Economics examination.

Neco 2022 Economics Objective / Multiple Choice Medium Difficulty
Question 11 NECO • 2022 • ECONOMICS • objective

A firm's total cost (in naira) for producing Q units is given by \(TC = 500 + 20Q + 0.1Q^{2}\). The firm can sell each unit for ₦150 up to a production level of 200 units. Any unit produced beyond 200 is sold at a 10 % discount on the original price. Determine the output level that maximizes the firm's profit and state the maximum profit (in naira).

Answer Options

A. Quantity = 575 units; Maximum profit = ₦34,000.0
B. Quantity = 600 units; Maximum profit = ₦36,750.0
Correct Answer C. Quantity = 575 units; Maximum profit = ₦35,562.5
D. Quantity = 550 units; Maximum profit = ₦34,250.0
Correct Answer
C
Correct Option:
Quantity = 575 units; Maximum profit = ₦35,562.5

About This Question

This is Neco 2022 Economics Question 11. It is one of the objective questions from the 2022 Neco Economics examination.

Difficulty level: Medium .

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