POST UTME BSU 2023 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm's revenue function is given by R(x) = 50x - 0.1x^2. If the firm produces 100 units, what is the total revenue?
A. 4500
B. 5000
C. 5500
D. 6000
Question 2
A country's GDP is 100 billion naira. If the country's population is 200 million, what is the per capita GDP?
A. 500
B. 750
C. 1000
D. 1250
Question 3
A firm's \cost function is given by C(x) = 2x^2 + 10x + 5. If the firm produces 25 units, what is the total \cost?
A. 625
B. 750
C. 875
D. 1000
Question 4
Consider a firm operating in a perfectly competitive market. If the firm's marginal revenue (MR) curve intersects its marginal \cost (MC) curve at point E, where MR = MC, and the firm is currently producing at point D, which of the following statements is true?
A. The firm is producing at its optimal level of output.
B. The firm is producing at a level of output where MR > MC.
C. The firm is producing at a level of output where MR < MC.
D. The firm is producing at a level of output where MR = MC.
Question 5
A consumer's indifference curve is given by the following equation: U = 2x + 3y, where x and y are the quantities of two goods consumed. If the consumer's budget is ₦100 and the prices of the two goods are ₦5 and ₦10, respectively, what is the consumer's optimal bundle of goods?
A. x = 10, y = 5
B. x = 5, y = 10
C. x = 15, y = 0
D. x = 0, y = 10
Question 6
A country's government wants to reduce its budget deficit by 10%. If the current budget deficit is 5% of the GDP, what is the new budget deficit?
A. 0.045
B. 0.05
C. 0.055
D. 0.06
Question 7
A consumer has a budget of ₦1000 and faces the following prices for two goods: Q1 = ₦200 and Q2 = ₦300. If the consumer buys 5 units of Q1, what is the opportunity \cost of buying one more unit of Q2?
A. ₦50
B. ₦100
C. ₦150
D. ₦200
Question 8
A firm faces a demand curve given by Qd = 100 - 2P and a supply curve given by Qs = 20 + 2P. If the firm produces 30 units, what is the price?
A. ₦20
B. ₦30
C. ₦40
D. ₦50
Question 9
A consumer's utility function is given by U = 2x + 3y, where x and y are the quantities of two goods. If the consumer's budget constraint is 10x + 5y = 50, what is the consumer's optimal bundle of goods?
A. x = 2, y = 4
B. x = 4, y = 2
C. x = 3, y = 3
D. x = 1, y = 1
Question 10
The concept of comparative advantage is related to the idea that countries should specialize in producing goods and services for which they have a lower opportunity \cost.
A. True
B. False
C. Maybe
D. It dep\ends
Question 11
A consumer's utility function is given by U = 2x + 3y, where x and y are the quantities of two goods. If the consumer's budget constraint is 10x + 5y = 50, what is the consumer's optimal bundle of goods?
A. x = 2, y = 4
B. x = 4, y = 2
C. x = 3, y = 3
D. x = 1, y = 1
Question 12
A firm's production function is given by Q = 2L^\( 1/2 \)K^\( 1/2 \), where Q is the output, L is the labor and K is the capital. If the firm wants to increase its output by 10%, what percentage increase in labor and capital is required?
A. 5% increase in labor and 5% increase in capital
B. 10% increase in labor and 10% increase in capital
C. 15% increase in labor and 15% increase in capital
D. 20% increase in labor and 20% increase in capital
Question 13
A firm's production function is given by Q = 2L^0.5H^0.5, where Q is output, L is labor, and H is capital. If the firm's current labor and capital inputs are L = 4 and H = 9, respectively, what is the marginal product of labor (MPL) when L = 5?
A. 1
B. 2
C. 3
D. 4
Question 14
The law of diminishing marginal utility states that as the quantity of a good or service increases, the marginal utility derived from each additional unit decreases.
A. True
B. False
C. Maybe
D. It dep\ends
Question 15
The law of diminishing marginal utility states that as the quantity of a good or service increases, the marginal utility derived from each additional unit decreases.
A. True
B. False
C. Maybe
D. It dep\ends

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