30050-Nigeria-Professional-ICAN-CPA-ECONOMICS-Assessment-Exam-Premium Welcome to your 30050-Nigeria-Professional-ICAN-CPA-ECONOMICS-Assessment-Exam-Premium Standard Gateway LTD SG Exam ID: 30050-Nigeria-Professional-ICAN-CPA-ECONOMICS-Assessment-Exam-Premium CPA-N Economics INSTRUCTIONS AND NOTES: This assessment exam was prepared with a collaboration of Standard Gateway, an education and technology focused organization and operator of www.nationalexamination.com, operator of kezastore.com and their partners. The exam shall assess examinee preparedness in a computer-based format. Although we make an effort to ensure correctness, this exam is "use as is", Standard Gateway LTD - Education and Technology, disclaims any liability, it is still the responsibility of the user to make final determination on usability and applicability. Time Allowed: 2 hours 15 minutes (15 minutes reading and 2 hours writing, this is advised self-timed timing). Our Assessment Exams typically have between 24 and 36 questions in a computer-based format, Answer all questions for all sections Read Questions Before your answer Show all your workings on your side notebook, where applicable, to mimic actual exam experience before you answer the computer-based exam We ask that students do not copy, redistribute without appropriate written approval by Standard Gateway staff, in ensuring the exam is beneficial to other examinees Good luck!! The term "scarcity" in economics refers to the fact that:No country can yet produce enough to satisfy completely everybody’s wants for everythingIt is impossible to produce too much of any particular goodEven in the richest country some people go hungryEverything costs money The following are macroeconomic issues expect oneWhy does the cost of living keep rising?Why are millions of people employed?Why are there recessions? Can policymakers do anything?What is the government deficit? How does it affect the economy? The price of the product A was reduced from N100 000 to N90000 and, as a result, the quantity demanded has increased from 70000 to 75000 units. The demand is:InelasticElasticUnit elasticCannot be determined from the given information. GDP can be measured by using: Total income Total output Total expenditure None of the answers is correct Given below macroeconomic data of production, Y1 = F (K1, L1 ),Scale all inputs by the same factor z:K2 = zK1 and L2 = zL1 What happens to output, Y2 = F (K2, L2 )?If constant returns to scale, Y2 = zY1If increasing returns to scale, Y2 > zY1If increasing returns to scale, Y2 - zY1If decreasing returns to scale, Y2 < zY1 1 out of 5 Which of the following features define human needsare not concurrentdo not disappear momentarily if they are satisfied;are unlimited in capacityare unlimited in number In Autarky, Components of aggregate demandDemand for investment goodsovernment demand for goods & servicesNet exportConsumer demand for goods & services Which of the following describes the utility maximization rule? (where MU is marginal utility and P is priceMUa/Pa = MUb/Pb = . . . = MUz/PzTotal MU = Total PMUa = MUb = . . . = MUzNone of the above describe the rule If the demand curve for product A moves to the right, and the price of product B decreases, it can be concluded that:A and B are substitute goodsA and B are complementary goodsA is an inferior good, and B is a superior goodBoth goods A and B are inferior. If a price increase of 50% results in an increase in the quantity supplied of an economic good from 10 to 20 pieces, calculate the coefficient of price elasticity of supply.¼½12 2 out of 5 The following are types of saving expect one Private saving Public saving National saving International monetary funds disbursement Keynes (1936) broke down the demand for money into 3 types:TransactionsBarter tradePrecautionarySpeculative motives Calculate the average fixed cost (AFC), for a level of production Q = 20, knowing that the total cost function is: TC = 200 + 3Q + 2Q210602002010 The following are level of economic integration except oneFree Trade Area and Customs UnionCommon MarketEconomic Union and apolitical UnionPolitical Union What Influences Growth of FDI Inflowechnological environmentLaws and regulations of potential hostsCloseness to capital inflowsExchange rate regime 3 out of 5 The following equation shows microeconomic data of quantity demanded and supplied of oil products in Nigeria. Qd = a + bp and Qs = c + dp then equilibrium price isPlease select your answerABCD The following is the Balance of Payments account expect oneCapital AccountFinancial AccountCurrent Account Surplus and deficitNational account Market Wage differentials arise from several the following sources except one :Difference in gender and parityGeographic immobilityDiscriminationDifferences in productivity The following is the models of market structure and its characteristics one it is wrongPure competition (atomized competition, price taker, freedom of entry &exit, no non price competition, standardized product)Pure monopoly (one seller, price giver, entry & exit blocked, unique product, non price competition)Monopolistic competition (small number of independent sellers, product homogeneous)Oligopoly (very few number of sellers, often collude, often price leadership, entry difficult, nonprice competition, product differentiation) The following are functions of money except oneMedium of exchangeBarter tradeStore of valueMeasure of worth 4 out of 5 Which of the following is true?TC - MC = VCAVC + TC = FCAFC + AVC = ATCMC + MR = profits The following are the principal objectives of monetary policyFull EmploymentEconomic Growth and Price StabilityBalance of PaymentsFiscal policy The following is possible solution of remedies for externalities except oneNegotiation, compensation and Social sanctions.Government RegulationTaxes and SubsidiesDrinking medicine result from injury the following is measure of Economic development expect oneIncrease in the economy's real national income over a longperiod of timeShared capital and political supremacyIncrease in the per capita real income of the economy over thelong periodSocial welfare of all citizens The profit maximization condition for a firm in a market with monopolistic competition is the following (MR is marginal revenue, MC is marginal cost, P is price, ATC is average total cost, TR is total revenue):MR = MCMC = PMR = ATCTR to be maximum 5 out of 5 Time is Up!