Neco Model Questions Vol1 2023 Government Question 24

Practice objective / multiple choice question 24 from the 2023 Neco Model Questions Vol1 Government examination.

Neco Model Questions Vol1 2023 Government Objective / Multiple Choice Hard Difficulty
Question 24 NECO_MODEL_QUESTIONS_VOL1 • 2023 • GOVERNMENT • objective

Federal allocations to local governments are computed with the formula \[\text{Allocation}=B\left[0.6\left(\frac{P}{P_{\text{tot}}}\right)+0.4\left(\frac{A}{A_{\text{tot}}}\right)\right]\] where \(B\) is the base grant, \(P\) and \(A\) are respectively the population and land‑area of the local government, and \(P_{\text{tot}}\) and \(A_{\text{tot}}\) are the total population and total land‑area of the three local governments considered. The data are: - Total population \(P_{\text{tot}} = 1{,}200{,}000\); total area \(A_{\text{tot}} = 3{,}000\) \(\text{km}^2\). - LGA 1: \(P = 500{,}000\), \(A = 1{,}200\) \(\text{km}^2\), base grant \(B = ₦100{,}000{,}000\). (i) Compute the allocation for LGA 1. (ii) If LGA 1's population increases by 10 % while its area remains unchanged, compute the new allocation and the percentage increase in the allocation (to one decimal place).

Answer Options

Correct Answer A. Original allocation ₦41,000,000; new allocation ₦43,500,000; increase 6.1 %
B. Original allocation ₦40,000,000; new allocation ₦42,500,000; increase 6.3 %
C. Original allocation ₦42,000,000; new allocation ₦44,500,000; increase 5.9 %
D. Original allocation ₦41,000,000; new allocation ₦44,000,000; increase 7.3 %
Correct Answer
A
Correct Option:
Original allocation ₦41,000,000; new allocation ₦43,500,000; increase 6.1 %

About This Question

This is Neco Model Questions Vol1 2023 Government Question 24. It is one of the objective questions from the 2023 Neco Model Questions Vol1 Government examination.

Difficulty level: Hard .

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