POST UTME COVENANT UNIVERSITY 2022 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm is producing a good with a production function Q = 2L^0.5 K^0.5, where Q is the quantity produced, L is the labor input, and K is the capital input. If the firm is currently producing 100 units of output with 10 units of labor and 20 units of capital, what is the marginal product of labor?
A. 5
B. 10
C. 15
D. 20
Question 2
A firm's total revenue is given by the equation TR = 100x - 2x^2, where x is the number of units sold. If the firm's marginal revenue is 80 when x = 20, what is the firm's total revenue when x = 30?
A. ₦3000
B. ₦3200
C. ₦3400
D. ₦3600
Question 3
A country's GDP is given by the equation GDP = C + I + G + \( X - M \), where C is the consumption, I is the investment, G is the government sp\ending, X is the exports, and M is the imports. If the country's consumption is 500 billion naira, its investment is 200 billion naira, its government sp\ending is 300 billion naira, its exports are 100 billion naira, and its imports are 150 billion naira, what is the country's GDP?
A. 1.2 trillion naira
B. 1.1 trillion naira
C. 1.3 trillion naira
D. 1.4 trillion naira
Question 4
A consumer has a utility function given by U(x, y) = 2x + 3y. If the consumer's budget constraint is 100, and the prices of x and y are ₦5 and ₦10 respectively, what is the consumer's optimal bundle?
A. x = 10, y = 5
B. x = 15, y = 10
C. x = 20, y = 15
D. x = 25, y = 20
Question 5
The demand for a product is given by the equation Qd = 100 - 2P. If the price is ₦20, what is the quantity demanded?
A. 20 units
B. 40 units
C. 60 units
D. 80 units
Question 6
A consumer's indifference curve is given by U = 2X + 3Y. If the budget constraint is 2X + 3Y = 12, find the optimal consumption bundle.
A. X = 2, Y = 4
B. X = 4, Y = 2
C. X = 6, Y = 0
D. X = 0, Y = 4
Question 7
A firm has a production function Q = 2L^0.5K^0.5. If the firm's labor and capital are 10 units each, what is the output?
A. 20 units
B. 40 units
C. 60 units
D. 80 units
Question 8
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 revenue is maximized at a price of $20, what is the quantity demanded at this price?
A. 40
B. 50
C. 60
D. 70
Question 9
A country's agricultural sector is characterized by a high degree of price rigidity, which leads to a high degree of price stickiness. What is the likely effect of this price stickiness on the country's agricultural sector?
A. Increased production
B. Decreased production
C. Increased employment
D. Decreased employment
Question 10
A country's GDP grows at a rate of 5% per annum, while its population grows at a rate of 2% per annum. What is the growth rate of per capita GDP?
A. 3%
B. 4%
C. 5%
D. 6%
Question 11
A consumer has a utility function given by U = 2x + 3y. The consumer's budget constraint is given by 2x + 3y = 12. What is the consumer's optimal bundle?
A. (4, 0)
B. (2, 4)
C. (0, 4)
D. (4, 4)
Question 12
A consumer has a utility function given by U(x, y) = 2x + 3y. If the consumer's budget constraint is 100, and the prices of x and y are ₦5 and ₦10 respectively, what is the consumer's optimal bundle?
A. x = 10, y = 5
B. x = 15, y = 10
C. x = 20, y = 15
D. x = 25, y = 20
Question 13
A farmer produces wheat and corn on a 100-hectare farm. The marginal product of wheat is 20 units per hectare, while the marginal product of corn is 15 units per hectare. If the farmer allocates 60 hectares to wheat and 40 hectares to corn, what is the total product of wheat and corn?
A. 1200 units of wheat and 600 units of corn
B. 1000 units of wheat and 800 units of corn
C. 800 units of wheat and 1200 units of corn
D. 600 units of wheat and 1000 units of corn
Question 14
A bank has a reserve requirement of 10%. If the bank's deposits are ₦100 million, how much must it keep in reserve?
A. ₦10 million
B. ₦20 million
C. ₦30 million
D. ₦40 million
Question 15
A farmer produces 100 units of wheat per hectare. If the price of wheat is ₦50 per unit, what is the total revenue from 10 hectares?
A. ₦500,000
B. ₦1,000,000
C. ₦1,500,000
D. ₦2,000,000

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