Post Utme Greenfield University 2017 Economics Question 28

Practice objective / multiple choice question 28 from the 2017 Post Utme Greenfield University Economics examination.

Post Utme Greenfield University 2017 Economics Objective / Multiple Choice
Question 28 POST_UTME_GREENFIELD_UNIVERSITY • 2017 • ECONOMICS • objective

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

Answer Options

Correct Answer A. 10% increase in labor and 10% increase in capital
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
A
Correct Option:
10% increase in labor and 10% increase in capital

About This Question

This is Post Utme Greenfield University 2017 Economics Question 28. It is one of the objective questions from the 2017 Post Utme Greenfield University Economics examination.

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