Post Utme Noun 2023 Commerce Question 12

Practice objective / multiple choice question 12 from the 2023 Post Utme Noun Commerce examination.

Post Utme Noun 2023 Commerce Objective / Multiple Choice
Question 12 POST_UTME_NOUN • 2023 • COMMERCE • objective

A firm's production function is given by Q = 2L^0.5K^0.5. If the price of labor increases by 20%, and the price of capital remains constant, what will happen to the firm's output?

Answer Options

A. It will increase by 10%
Correct Answer B. It will decrease by 10%
C. It will remain unchanged
D. It will increase by 20%
Correct Answer
B
Correct Option:
It will decrease by 10%

About This Question

This is Post Utme Noun 2023 Commerce Question 12. It is one of the objective questions from the 2023 Post Utme Noun Commerce examination.

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