Neco 2022 Economics Question 18

Practice objective / multiple choice question 18 from the 2022 Neco Economics examination.

Neco 2022 Economics Objective / Multiple Choice Hard Difficulty
Question 18 NECO • 2022 • ECONOMICS • objective

A perfectly competitive firm has total cost (in thousand Naira) given by \( TC = 0.02Q^{3}-0.3Q^{2}+15Q+200 \), where \(Q\) is output in thousand units. The market price of the product is \(\text{₦}50\) per unit. Determine the output level (in thousand units) that maximises profit and compute the maximum profit (in thousand Naira).

Answer Options

A. Q \approx 32.5 thousand units; maximum profit \approx 610,000 Naira
B. Q \approx 25.0 thousand units; maximum profit \approx 450,000 Naira
Correct Answer C. Q \approx 29.7 thousand units; maximum profit \approx 580,000 Naira
D. Q \approx 20.0 thousand units; maximum profit \approx 300,000 Naira
Correct Answer
C
Correct Option:
Q \approx 29.7 thousand units; maximum profit \approx 580,000 Naira

About This Question

This is Neco 2022 Economics Question 18. It is one of the objective questions from the 2022 Neco Economics examination.

Difficulty level: Hard .

View More Neco 2022 Economics Questions More Neco Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support