POST UTME LAUTECH 2024 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A country's GDP is given by the equation GDP = C + I + G + \( X - M \), where C is consumption, I is investment, G is government sp\ending, X is exports, and M is imports. If the country's GDP is $100 billion, consumption is $50 billion, investment is $20 billion, government sp\ending is $15 billion, exports are $30 billion, and imports are $20 billion, find the value of X.
A. 40
B. 50
C. 60
D. 70
Question 2
The demand for a product is given by the equation Qd = 100 - 2P, where Qd is the quantity demanded and P is the price. If the price elasticity of demand is 0.5, what is the percentage change in quantity demanded when the price decreases by 10%?
A. 5%
B. 10%
C. 15%
D. 20%
Question 3
A firm's production function is given by the equation Q = 2L^0.5K^0.5, where Q is the quantity produced, L is the number of labor hours, and K is the amount of capital. If the firm's \cost function is given by the equation C = 10L + 20K, what is the firm's profit-maximizing level of labor?
A. L = 1
B. L = 4
C. L = 9
D. L = 16
Question 4
A firm's \cost function is given by C(q) = 2q^2 + 10q + 5. If the firm produces 20 units of output, what is the total \cost?
A. $155
B. $160
C. $165
D. $170
Question 5
A country's GDP grows at an annual rate of 5% while its population grows at an annual rate of 2%. What is the growth rate of per capita GDP?
A. 3%
B. 5%
C. 7%
D. 9%
Question 6
Consider a firm operating in a perfectly competitive market with a production function Q = 2L^0.5K^0.5. If the firm's current input prices are w = 10 and r = 20, and it currently employs 4 units of labor and 2 units of capital, what is the firm's current output level?
A. 16
B. 32
C. 64
D. 128
Question 7
A firm's demand function is given by the equation Q = 100 - 2P, where Q is the quantity demanded and P is the price. If the firm's supply function is Q = 50 + 3P, find the equilibrium price and quantity.
A. 20, 60
B. 30, 70
C. 40, 80
D. 50, 90
Question 8
A country's tax revenue is given by the equation TR = T * \( Y - C \), where TR is the tax revenue, T is the tax rate, Y is the national income, and C is consumption. If the country's tax revenue is $50 billion, tax rate is 0.2, national income is $100 billion, and consumption is $50 billion, find the value of T.
A. 0.1
B. 0.2
C. 0.3
D. 0.4
Question 9
A firm's production function is given by Q = 2L + 3K. If the firm's labor and capital are ₦200 and ₦300 respectively, what is the firm's output?
A. ₦400
B. ₦500
C. ₦600
D. ₦700
Question 10
The money multiplier is a concept in monetary economics that describes the relationship between the money supply and the amount of money in circulation. If the money supply increases by 10% and the reserve requirement is 10%, what is the new money multiplier?
A. 20
B. 21
C. 22
D. 23
Question 11
A firm's production function is given by the equation Q = 2L^0.5K^0.5, where Q is the quantity produced, L is the number of labor hours, and K is the amount of capital. If the firm's \cost function is given by the equation C = 10L + 20K, what is the firm's profit-maximizing level of capital?
A. K = 1
B. K = 4
C. K = 9
D. K = 16
Question 12
A country's demand for a good is given by the demand function Qd = 100 - 2P, where Qd is the quantity demanded and P is the price. The supply function is given by Qs = 2P - 100. What is the equilibrium price and quantity?
A. {P = 50, Q = 0}
B. {P = 75, Q = 25}
C. {P = 100, Q = 0}
D. {P = 0, Q = 100}
Question 13
A consumer's budget constraint is given by the equation IY = 20 - 2Y. If the consumer's income is ₦100, what is the optimal level of consumption?
A. ₦40
B. ₦50
C. ₦60
D. ₦70
Question 14
A firm's total revenue (TR) is given by the equation TR = 100x - 2x^2, where x is the number of units sold. If the firm's marginal revenue (MR) is 80, find the value of x.
A. 10
B. 20
C. 30
D. 40
Question 15
A country's balance of payments is a statistical statement that summarizes all economic transactions between a nation and the rest of the world over a specific period. If a country's current account deficit is $100 billion and its capital account surplus is $50 billion, what is the overall balance of payments deficit?
A. $50 billion
B. $75 billion
C. $100 billion
D. $125 billion

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