Neco 2023 Agricultural Science Question 24

Practice objective / multiple choice question 24 from the 2023 Neco Agricultural Science examination.

Neco 2023 Agricultural Science Objective / Multiple Choice Medium Difficulty
Question 24 NECO • 2023 • AGRICULTURAL_SCIENCE • objective

A mixed farm has two enterprises.\n\nPoultry: 200 laying hens each produce 280 eggs per year. Eggs sell for \u20A512 each. Feed costs \u20A51,500 per hen per year and other variable costs are \u20A5300 per hen per year. Fixed overhead is \u20A530,000 per year and depreciation of the poultry house is \u20A515,000 per year.\n\nRice: 5\,ha are cultivated. Expected yield is 4\,t\,ha\textsuperscript{-1}. Rice sells for \u20A5180\,kg\textsuperscript{-1}. Variable production cost is \u20A525,000\,ha\textsuperscript{-1} and fixed cost is \u20A510,000\,ha\textsuperscript{-1}. Depreciation of the irrigation system is \u20A58,000 per year, allocated proportionally to the cultivated area.\n\nCompute the net profit for each enterprise and the overall net farm profit. Also state which enterprise is more profitable per unit (per hen versus per hectare). Give all monetary answers in \u20A5.

Answer Options

Correct Answer A. Poultry profit: \u20A5 267,000 (\u20A5 1,335 per hen); Rice profit: \u20A5 3,417,000 (\u20A5 683,400 per ha); Overall profit: \u20A5 3,684,000; Rice enterprise is more profitable per unit.
B. Poultry profit: ₥ 250,000 (₥ 1,250 per hen); Rice profit: ₥ 3,300,000 (₥ 660,000 per ha); Overall profit: ₥ 3,550,000; Rice enterprise is more profitable per unit.
C. Poultry profit: ₥ 267,000 (₥ 1,335 per hen); Rice profit: ₥ 3,417,000 (₥ 683,400 per ha); Overall profit: ₥ 3,500,000; Rice enterprise is more profitable per unit.
D. Poultry profit: ₥ 267,000 (₥ 1,335 per hen); Rice profit: ₥ 3,417,000 (₥ 600,000 per ha); Overall profit: ₥ 3,684,000; Poultry enterprise is more profitable per unit.
Correct Answer
A
Correct Option:
Poultry profit: \u20A5 267,000 (\u20A5 1,335 per hen); Rice profit: \u20A5 3,417,000 (\u20A5 683,400 per ha); Overall profit: \u20A5 3,684,000; Rice enterprise is more profitable per unit.

About This Question

This is Neco 2023 Agricultural Science Question 24. It is one of the objective questions from the 2023 Neco Agricultural Science examination.

Difficulty level: Medium .

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