POST UTME AL-HIKMAH UNIVERSITY 2019 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
The Nigerian government has implemented a policy to increase agricultural production. Which of the following is a benefit of this policy?
A. Increased employment opportunities
B. Increased income for farmers
C. Increased food security
D. Increased foreign exchange earnings
Question 2
The Nigerian economy is experiencing a recession. What is the impact of this on the country's GDP?
A. GDP decreases
B. GDP remains cons\tant
C. GDP increases
D. GDP becomes negative
Question 3
A country's GDP is ₦1,000,000,000. If the country's population is 20 million, what is the per capita GDP?
A. ₦50
B. ₦100
C. ₦200
D. ₦500
Question 4
The national income of a country is ₦100 billion. If the government sp\ends ₦20 billion on goods and services, and if the private sector sp\ends ₦30 billion on goods and services, what is the value of the national income?
A. ₦100 billion
B. ₦120 billion
C. ₦140 billion
D. ₦160 billion
Question 5
A consumer's indifference curve is represented by the equation ( u(x, y) = 2x + 3y ). If the consumer's income is ₦1000 and the prices of x and y are ₦5 and ₦10 respectively, what is the consumer's optimal bundle?
A. x = 40, y = 30
B. x = 30, y = 40
C. x = 20, y = 50
D. x = 50, y = 20
Question 6
A consumer has a utility function given by U(x,y) = 2x + 3y. If the consumer's income is ₦1000 and the prices of x and y are ₦5 and ₦3 respectively, what is the consumer's optimal bundle of x and y?
A. (x,y) = (20,10)
B. (x,y) = (15,15)
C. (x,y) = (10,20)
D. (x,y) = (5,30)
Question 7
A country's GNP is ₦2.0 trillion. The government imposes a tax of 15% on the GNP. Calculate the government's revenue from the tax.
A. ₦300,000,000,000
B. ₦300,000,000,000
C. ₦300,000,000,000
D. ₦300,000,000,000
Question 8
A firm's production function is given by Q = 100L^0.5K^0.5, where Q is output, L is labor, and K is capital. If the firm increases labor from 100 units to 121 units, while keeping capital cons\tant at 100 units, what is the percentage change in output?
A. 10%
B. 20%
C. 30%
D. 40%
Question 9
A firm's profit function is given by \( pi = R - C \), where ( pi ) is the profit, R is the revenue and C is the \cost. If the firm's revenue is 100 and \cost is 50, calculate the profit.
A. 50
B. 55
C. 60
D. 65
Question 10
A country's GDP is given by \( GDP = 100 + 0.2Y + 0.3C \), where Y is the country's income and C is the country's consumption. If the country's income is 500 and consumption is 300, calculate the GDP.
A. 250
B. 260
C. 270
D. 280
Question 11
A consumer's demand function for a good is given by Q = 100 - 2P, where Q is quantity demanded and P is price. If the price of the good increases from ₦50 to ₦60, what is the percentage change in quantity demanded?
A. -20%
B. -10%
C. 10%
D. 20%
Question 12
The concept of scarcity in economics implies that
A. There is always enough to go around
B. People's wants are unlimited
C. Resources are limited
D. Economic growth is impossible
Question 13
A firm's revenue function is given by ( R(x) = 100x - 2x^2 ). If the firm produces 20 units of output, what is its total revenue?
A. ₦1200
B. ₦1500
C. ₦1800
D. ₦2000
Question 14
A firm's demand curve is given by Q = 100 - 2P, where Q is the quantity demanded and P is the price. If the firm's total revenue (TR) is given by TR = P * Q, calculate the price elasticity of demand when the price is ₦30.
A. 0.5
B. 1.0
C. 2.0
D. 3.0
Question 15
A country's GDP is ₦1.5 trillion. The government imposes a tax of 10% on the GDP. Calculate the government's revenue from the tax.
A. ₦150,000,000,000
B. ₦150,000,000,000
C. ₦150,000,000,000
D. ₦150,000,000,000

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