Post Utme Esut 2022 Economics Question 38

Practice objective / multiple choice question 38 from the 2022 Post Utme Esut Economics examination.

Post Utme Esut 2022 Economics Objective / Multiple Choice
Question 38 POST_UTME_ESUT • 2022 • ECONOMICS • objective

A farmer in Nigeria decides to allocate 100 hectares of land to cultivate maize. If the marginal product of labor (MPL) is 10 units per hectare, and the marginal product of capital (MPK) is 5 units per hectare, what is the opportunity \cost of u\sing one more unit of capital?

Answer Options

A. The opportunity \cost is the difference between the marginal product of labor and the marginal product of capital.
Correct Answer B. The opportunity \cost is the difference between the marginal product of capital and the marginal product of labor.
C. The opportunity \cost is the difference between the average product of labor and the average product of capital.
D. The opportunity \cost is the difference between the average product of capital and the average product of labor.
Correct Answer
B
Correct Option:
The opportunity \cost is the difference between the marginal product of capital and the marginal product of labor.

About This Question

This is Post Utme Esut 2022 Economics Question 38. It is one of the objective questions from the 2022 Post Utme Esut Economics examination.

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