Kramizo
Log inSign up free
Home › CXC CAPE Economics › Costs, revenue and profit maximisation
CXC CAPE · · Economics

Costs, revenue and profit maximisation
Practice Questions

40 CXC CAPE Economics questions on Costs, revenue and profit maximisation, each with instant feedback and a full examiner-style mark scheme.

⚡ Start Quiz on Costs, revenue and profit maximisation →📖 Read Revision Notes
✨ Revision guide includes key terms, worked examples and exam technique for Costs, revenue and profit maximisation.

Try 2 sample questions on Costs, revenue and profit maximisation

Question 1 · 1 mark · Difficulty 1/3

How is marginal cost calculated?

  1. The addition to total cost from producing one more unit
  2. Variable cost divided by output
  3. Total cost divided by output
  4. The change in average cost between two output levels
Show answer & explanation
✓ Answer: A — The addition to total cost from producing one more unit
Award 1 mark. It is always the difference between consecutive total costs — computing it from averages instead is a common error.
Question 2 · 1 mark · Difficulty 1/3

What is normal profit?

  1. The profit a firm makes in an average year
  2. The profit earned when price equals marginal cost
  3. The minimum return needed to keep the firm in the industry, counted as a cost
  4. Any profit above total cost
Show answer & explanation
✓ Answer: C — The minimum return needed to keep the firm in the industry, counted as a cost
Award 1 mark. It is an opportunity cost, so a firm earning only normal profit shows zero economic profit and is doing perfectly well.
⚡ Start a Quiz on Costs, revenue and profit maximisation →
20 questions · 25 min · free

CXC CAPE Economics: Costs, revenue and profit maximisation FAQ

Is Kramizo free for CXC CAPE students preparing for Economics?
Yes — completely free. Every student gets 45 questions a day on the free plan, with no card required and no trial countdown. That free quota works across every subject and every topic in our bank, so you can mix Costs, revenue and profit maximisation practice with other Economics topics or even switch to a totally different CXC CAPE subject without paying anything. Kramizo's optional Pro plan removes the daily cap and adds detailed progress analytics, but the free tier is the real product — used by thousands of GCSE, IGCSE and CSEC students.
Are the Costs, revenue and profit maximisation questions aligned to the official CXC CAPE Economics syllabus?
Every question is written against the published CXC CAPE Economics specification, including the exact command words (state, describe, explain, calculate, evaluate, etc.), mark allocations, and difficulty tier you'd see on a real CXC CAPE paper. Explanations are written in the style of official examiner mark schemes — they tell you what is being awarded marks and why distractors are wrong, not just whether you got it right. The bank is continually refined to match the latest syllabus updates from CXC CAPE.
How is Costs, revenue and profit maximisation typically tested on CXC CAPE Economics papers?
Costs, revenue and profit maximisation appears across multiple question types on real CXC CAPE Economics papers — most commonly as multiple-choice questions in the objective section, structured short-answer questions in the main paper, and occasionally as part of an extended response. Kramizo's practice bank reflects that mix: 4-option MCQs, true/false statements, fill-in-the-blank key terms, multi-select questions, and ordering questions. Working through the bank gives you exposure to every question style examiners actually use.

Lock in Costs, revenue and profit maximisation before exam day.

Start practising in 30 seconds — no card required.

⚡ Start Quiz Free →