Waec Model Questions Vol1 2023 Economics Question 10

Practice objective / multiple choice question 10 from the 2023 Waec Model Questions Vol1 Economics examination.

Waec Model Questions Vol1 2023 Economics Objective / Multiple Choice Hard Difficulty
Question 10 WAEC_MODEL_QUESTIONS_VOL1 • 2023 • ECONOMICS • objective

A firm produces output according to the Cobb‑Douglas function \(Q = 20 L^{0.5} K^{0.5}\), where \(L\) is labour units and \(K\) is capital units. The wage rate is ₦500 per unit of labour and the rental rate of capital is ₦800 per unit. The firm must produce at least 2,000 units of output. Determine the cost‑minimising quantities of labour and capital and compute the minimum total cost.

Answer Options

Correct Answer A. ₦126,491
B. ₦132,750
C. ₦115,000
D. ₦140,200
Correct Answer
A
Correct Option:
₦126,491

About This Question

This is Waec Model Questions Vol1 2023 Economics Question 10. It is one of the objective questions from the 2023 Waec Model Questions Vol1 Economics examination.

Difficulty level: Hard .

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support