POST UTME NOUN 2022 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
The government of Nigeria has implemented a policy to increase agricultural production and reduce dep\endence on imported food. What is the likely effect of this policy on the agricultural sector?
A. The policy will lead to an increase in agricultural production and a decrease in food imports.
B. The policy will lead to a decrease in agricultural production and an increase in food imports.
C. The policy will have no effect on agricultural production and food imports.
D. The policy will lead to an increase in agricultural production, but an increase in food imports.
Question 2
A firm is producing a good with a total revenue of ₦100,000 and a total \cost of ₦80,000. If the price elasticity of demand is 0.5, what is the price elasticity of supply?
A. 0.5
B. 1.0
C. 2.0
D. 3.0
Question 3
A country's balance of payments is given by the following equation: BOP = X - M, where X is the exports and M is the imports. If the country's exports are $100 billion and its imports are $120 billion, what is the balance of payments?
A. -20 billion
B. 20 billion
C. 40 billion
D. 60 billion
Question 4
A country's balance of payments (BOP) is given by the equation BOP = X - M, where X is the value of exports and M is the value of imports. If the value of exports is ₦100 and the value of imports is ₦80, what is the balance of payments?
A. ₦20
B. ₦30
C. ₦40
D. ₦50
Question 5
A firm's production function is given by Q = 3L^0.5K^0.5. If the firm's current input prices are w = 15 and r = 30, and it currently uses L = 6 and K = 12, calculate the firm's current total \cost.
A. ₦2,160
B. ₦2,520
C. ₦2,880
D. ₦3,240
Question 6
A country's GDP is given by 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 $25 billion, what is the country's trade balance?
A. $5 billion surplus
B. $10 billion deficit
C. $15 billion surplus
D. $20 billion deficit
Question 7
The government of Nigeria has implemented a policy to increase agricultural production and reduce dep\endence on imported food. What is the likely effect of this policy on the agricultural sector?
A. The policy will lead to an increase in agricultural production and a decrease in food imports.
B. The policy will lead to a decrease in agricultural production and an increase in food imports.
C. The policy will have no effect on agricultural production and food imports.
D. The policy will lead to an increase in agricultural production, but an increase in food imports.
Question 8
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 produce 16 units of output, and it has 4 units of labor, how many units of capital does it need to produce the desired output?
A. 4
B. 8
C. 16
D. 32
Question 9
A firm's demand function is given by Q = 100 - 2P, where Q is quantity demanded and P is price. If the firm's marginal revenue function is MR = 200 - 4Q, what is the optimal price that maximizes profit?
A. $20
B. $25
C. $30
D. $35
Question 10
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 uses L = 4 and K = 9, calculate the firm's current total revenue.
A. ₦1,680
B. ₦1,920
C. ₦2,160
D. ₦2,400
Question 11
A firm's demand curve is downward sloping, indicating that as the price of the good increases, the quantity demanded decreases. What is the elasticity of demand for this good?
A. Elastic demand
B. Inelastic demand
C. Unit elastic demand
D. Perfectly inelastic demand
Question 12
A consumer has a utility function U(x, y) = 2x + 3y, where x and y are the quantities of two goods. If the consumer's income is ₦100,000 and the prices of the two goods are ₦50,000 and ₦30,000 respectively, what is the consumer's optimal bundle?
A. x = 2, y = 3
B. x = 3, y = 2
C. x = 4, y = 1
D. x = 1, y = 4
Question 13
The government of a country decides to impose a tax on imported goods to raise revenue. However, the tax also leads to an increase in the price of these goods, which in turn reduces the quantity demanded. This is an example of a:
A. deadweight loss
B. tax incidence
C. tax revenue
D. tax evasion
Question 14
A monopolist's demand function is given by Q = 100 - 2P, where Q is quantity demanded and P is price. If the firm's marginal revenue function is MR = 200 - 4Q, what is the optimal price that maximizes profit?
A. $20
B. $25
C. $30
D. $35
Question 15
A consumer has a utility function U(x, y) = 2x + 3y, where x and y are the quantities of two goods. If the consumer's income is ₦100,000 and the prices of the two goods are ₦50,000 and ₦30,000 respectively, what is the consumer's optimal bundle?
A. x = 2, y = 3
B. x = 3, y = 2
C. x = 4, y = 1
D. x = 1, y = 4

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