O-LevelEconomicsThe basic economic problem2281/11 · May/June 2024 · Q21 Mark

A firm is deciding whether to produce good X or good Y for the next five years. The predicted revenue for good X is $20000 per year and for good Y is $18000 per year. What is the opportunity cost of producing good X?

A$18000

B$20000

C$90000

D$100000

✓ Correct answer

C: $90000

Oracle Prep sorts past-paper questions by topic, so you can drill The basic economic problem and see which topics are most likely to come up next.

Topic: The basic economic problem, O-Level Economics (syllabus 2281). Multiple choice, 1 mark.
Source: O-Level Economics, May/June 2024 Paper 1 Variant 1, question 2.

Questions and mark schemes are from past examination papers and remain the copyright of the exam board. How Oracle Prep builds its content

What does an economist mean by capital?

A student leaves school and decides to spend the next two years at a college to improve her qualifications. What is t…

A tractor factory runs out of important components and has to stop production. How does this illustrate the economic …

During 2009 some governments adopted policies to try to end the recession in their country and increase economic grow…

Why may GDP not be a good measure to compare the standard of living of two countries?

Which type of unemployment is generally regarded by economists as the least serious for the economy?