POST UTME GREENFIELD UNIVERSITY 2021 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm is producing a good u\sing a production function Q = 2L^0.5K^0.5. If the firm is currently producing 16 units of output with 4 units of labor and 9 units of capital, what is the marginal product of labor?
A. 2
B. 3
C. 4
D. 5
Question 2
A firm's demand curve is given by the equation Q = 100 - 2P, where Q is the quantity demanded and P is the price. If the firm's marginal revenue is ₦500, what is the firm's price elasticity of demand?
A. -0.5
B. -1.0
C. -1.5
D. -2.0
Question 3
The production function for a firm is given by the equation Q = 2L^0.5K^0.5, where Q is the output, L is the labor, and K is the capital. The firm is currently producing 100 units of output with 10 units of labor and 10 units of capital. What is the marginal product of labor?
A. 5
B. 10
C. 15
D. 20
Question 4
The production function for a firm 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 increases the labor from 4 to 9 units, and the capital from 9 to 16 units, what is the percentage change in output?
A. 25%
B. 30%
C. 35%
D. 40%
Question 5
A firm's demand curve is given by the equation Q = 100 - 2P, where Q is the quantity demanded and P is the price. If the firm's marginal revenue is ₦500, what is the firm's total revenue?
A. ₦5,000
B. ₦10,000
C. ₦15,000
D. ₦20,000
Question 6
A monopolistically competitive firm is characterized by a downward-sloping demand curve and a high degree of product differentiation. What is the primary reason for the firm's downward-sloping demand curve?
A. The firm's high fixed \costs lead to a downward-sloping demand curve.
B. The firm's high marginal \costs lead to a downward-sloping demand curve.
C. The firm's product differentiation leads to a downward-sloping demand curve.
D. The firm's high elasticity of demand leads to a downward-sloping demand curve.
Question 7
A farmer is producing two crops, maize and soybeans. The production function for maize is given by Qm = 2Lm^0.5Km^0.5, where Lm is the amount of labor used and Km is the amount of capital used. The production function for soybeans is given by Qs = 3Ls^0.5Ks^0.5, where Ls is the amount of labor used and Ks is the amount of capital used. If the farmer is currently u\sing 100 units of labor and 200 units of capital, what is the total output of maize and soybeans?
A. 200 units of maize and 300 units of soybeans
B. 300 units of maize and 200 units of soybeans
C. 400 units of maize and 400 units of soybeans
D. 500 units of maize and 500 units of soybeans
Question 8
A firm is considering two different production processes: one that produces 100 units of output with a fixed \cost of ₦10,000 and a variable \cost of ₦50 per unit, and another that produces 150 units of output with a fixed \cost of ₦20,000 and a variable \cost of ₦40 per unit. Which production process should the firm choose?
A. The first production process.
B. The second production process.
C. Both production processes are equally profitable.
D. Neither production process is profitable.
Question 9
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 50, find the number of units sold at which the firm's total revenue is maximized.
A. 20
B. 30
C. 40
D. 50
Question 10
The government of Nigeria has set a target of increa\sing the country's GDP by 10% within the next 5 years. If the current GDP is ₦20 trillion, what is the total amount of investment required to achieve this target?
A. ₦2 trillion
B. ₦4 trillion
C. ₦6 trillion
D. ₦8 trillion
Question 11
The demand for a product is given by the equation Qd = 100 - 2P, where Qd is the quantity demanded and P is the price. The supply of the product is given by the equation Qs = 50 + 3P, where Qs is the quantity supplied and P is the price. What is the equilibrium price and quantity?
A. P = 20, Q = 70
B. P = 30, Q = 80
C. P = 40, Q = 90
D. P = 50, Q = 100
Question 12
A firm's supply curve is given by the equation Q = 2P + 50, where Q is the quantity supplied and P is the price. If the firm's marginal \cost is ₦200, what is the firm's price elasticity of supply?
A. 0.5
B. 1.0
C. 1.5
D. 2.0
Question 13
A consumer has a budget of ₦1000 and a preference for two goods, A and B. The prices of the goods are ₦200 and ₦300 respectively. If the consumer's indifference curves are given by the equation U = 2x + 3y, where x and y are the quantities of goods A and B respectively, find the quantities of goods A and B that the consumer will purchase.
A. 5 units of A, 3 units of B
B. 3 units of A, 5 units of B
C. 4 units of A, 4 units of B
D. 2 units of A, 6 units of B
Question 14
A firm's revenue function is given by the equation R = 100Q - 2Q^2, where R is the total revenue and Q is the quantity produced. If the firm produces 10 units, what is the total revenue?
A. 800
B. 820
C. 840
D. 860
Question 15
A firm's demand curve is given by the equation Q = 100 - 2P, where Q is the quantity demanded and P is the price. If the firm's marginal revenue is ₦500, what is the firm's total revenue?
A. ₦5,000
B. ₦10,000
C. ₦15,000
D. ₦20,000

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