Post Utme Crawford University 2022 Economics Question 23

Practice objective / multiple choice question 23 from the 2022 Post Utme Crawford University Economics examination.

Post Utme Crawford University 2022 Economics Objective / Multiple Choice
Question 23 POST_UTME_CRAWFORD_UNIVERSITY • 2022 • ECONOMICS • objective

A firm's production function is given by Q = 2L^0.5K^0.5, where Q is the output, L is the labor, and K is the capital. If the firm wants to increase its output by 20%, what percentage increase in labor and capital is required?

Answer Options

A. 10% increase in labor and 10% increase in capital.
Correct Answer B. 20% increase in labor and 20% increase in capital.
C. 30% increase in labor and 30% increase in capital.
D. 40% increase in labor and 40% increase in capital.
Correct Answer
B
Correct Option:
20% increase in labor and 20% increase in capital.

About This Question

This is Post Utme Crawford University 2022 Economics Question 23. It is one of the objective questions from the 2022 Post Utme Crawford University Economics examination.

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