JAMB Economics 2021 Question 37

Question 37

Natural Resources and Petroleum

Which of the following yields more revenue to Nigeria?

  1. A.valued added tax
  2. B.royalties
  3. C.indirect tax
  4. D.direct tax
Show the answer and explanation

Answer: B (royalties)

Explanation

Nigeria earns most of its revenue from oil, including royalties paid by oil companies.