Neco Model Questions Vol1 2017 Economics Question 24
Practice objective / multiple choice question 24 from the 2017 Neco Model Questions Vol1 Economics examination.
A country's manufacturing sector starts the year 2020 with a capital stock of \(\text{₦}1{,}000\) billion. Each year the sector depreciates \(5\%\) of its capital stock. The sector saves (invests) \(50\%\) of its output. Output is produced according to the linear function \(Y = 0.4K\), where \(K\) is the capital stock at the beginning of the year. How many whole years are required for annual output to reach at least \(\text{₦}2{,}000\) billion?
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About This Question
This is Neco Model Questions Vol1 2017 Economics Question 24. It is one of the objective questions from the 2017 Neco Model Questions Vol1 Economics examination.
Difficulty level: Hard .
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