Neco Model Questions Vol1 2025 Agricultural Science Question 20

Practice objective / multiple choice question 20 from the 2025 Neco Model Questions Vol1 Agricultural Science examination.

Neco Model Questions Vol1 2025 Agricultural Science Objective / Multiple Choice Medium Difficulty
Question 20 NECO_MODEL_QUESTIONS_VOL1 • 2025 • AGRICULTURAL_SCIENCE • objective

A farmer plans a broiler operation raising 800 birds per year. Fixed costs are ₦1,200,000 per year. Variable cost per bird is ₦12,000, and the expected market price per bird at harvest is ₦18,000. There is a 10\% chance of a disease outbreak that reduces the number of birds sold by 30\% and raises the variable cost of the affected birds by ₦3,000 each. Compute the expected annual profit taking the disease risk into account, and determine the break‑even number of birds if no disease occurs.

Answer Options

Correct Answer A. Expected profit = ₦3,096,000; break‑even quantity = 200 birds
B. Expected profit = ₦2,880,000; break‑even quantity = 200 birds
C. Expected profit = ₦3,240,000; break‑even quantity = 250 birds
D. Expected profit = ₦2,700,000; break‑even quantity = 180 birds
Correct Answer
A
Correct Option:
Expected profit = ₦3,096,000; break‑even quantity = 200 birds

About This Question

This is Neco Model Questions Vol1 2025 Agricultural Science Question 20. It is one of the objective questions from the 2025 Neco Model Questions Vol1 Agricultural Science examination.

Difficulty level: Medium .

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