POST UTME PAN-ATLANTIC UNIVERSITY 2017 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm's production function is given by Q = 2L^\( 1/2 \)K^\( 1/2 \). If the firm's current input levels are L = 16 and K = 9, calculate the marginal product of labor.
A. 1
B. 2
C. 4
D. 8
Question 2
A farmer in Nigeria produces maize and soybeans on a 100-hectare farm. The total revenue from maize is ₦1,500,000, and the total revenue from soybeans is ₦2,000,000. What is the total revenue from both crops?
A. ₦3,500,000
B. ₦3,000,000
C. ₦2,500,000
D. ₦2,000,000
Question 3
A monopolistically competitive firm faces a demand curve with a cons\tant elasticity of -2. If the firm's marginal revenue (MR) is given by MR = 100 - 2Q, where Q is the quantity sold, what is the firm's optimal quantity?
A. 50 units
B. 75 units
C. 100 units
D. 125 units
Question 4
A government imposes a tax of ₦10 on a product. If the pre-tax price is ₦50 and the demand curve is given by Qd = 100 - 2P, what is the new equilibrium price?
A. ₦40
B. ₦45
C. ₦50
D. ₦55
Question 5
A country's national income is calculated u\sing the formula Y = C + I + G + \( X - M \). If the country's consumption (C) is ₦50 billion, investment (I) is ₦20 billion, government sp\ending (G) is ₦30 billion, exports (X) are ₦40 billion, and imports (M) are ₦20 billion, what is the country's national income?
A. ₦120 billion
B. ₦140 billion
C. ₦160 billion
D. ₦180 billion
Question 6
A country's balance of payments (BOP) is in equilibrium when the current account and capital account are balanced. If the country's current account deficit is ₦500 billion and the capital account surplus is ₦200 billion, what is the net capital outflow?
A. ₦300 billion
B. ₦400 billion
C. ₦500 billion
D. ₦600 billion
Question 7
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 $60 billion, investment is $20 billion, government sp\ending is $15 billion, exports are $25 billion, and imports are $10 billion, find the value of X.
A. 30
B. 35
C. 40
D. 45
Question 8
Suppose the demand curve for a product is given by Qd = 100 - 2P and the supply curve is given by Qs = 2P - 10. If the equilibrium price is P = 20, what is the equilibrium quantity?
A. 40
B. 60
C. 80
D. 100
Question 9
A firm's \cost function is given by C(x) = 2x^2 + 10x + 5, where x is the number of units produced. If the firm produces 10 units, find the total \cost.
A. 105
B. 110
C. 115
D. 120
Question 10
A government imposes a tax of ₦5 per unit on a good. If the supply curve is given by the equation Q = 2P - 5, what is the new supply curve after the tax is imposed?
A. Q = 2P - 10
B. Q = 2P - 5
C. Q = 2P + 5
D. Q = 2P - 15
Question 11
A consumer's utility function is given by U = 2x + 3y. If the consumer's income is ₦100 and the prices of x and y are ₦5 and ₦10 respectively, what is the consumer's optimal bundle of x and y?
A. x = 10, y = 5
B. x = 5, y = 10
C. x = 15, y = 3
D. x = 3, y = 15
Question 12
A firm's total revenue (TR) is given by the equation TR = 2x^2 + 5x + 3, where x is the quantity sold. If the firm's total \cost (TC) is given by the equation TC = x^2 + 2x + 1, what is the profit-maximizing quantity?
A. x = 1
B. x = 2
C. x = 3
D. x = 4
Question 13
A consumer's budget constraint is given by P_x x + P_y y = 100. If P_x = 10 and P_y = 5, and the consumer's current consumption levels are x = 5 and y = 10, calculate the consumer's optimal consumption bundle.
A. (10, 20)
B. (20, 10)
C. (5, 5)
D. (0, 0)
Question 14
A consumer's budget constraint is given by 2x + 3y = 100. If the consumer's utility function is U = 2x + 3y, what is the consumer's optimal bundle of x and y?
A. x = 10, y = 5
B. x = 5, y = 10
C. x = 15, y = 3
D. x = 3, y = 15
Question 15
Consider a firm operating in a perfectly competitive market. If the firm's marginal revenue (MR) is greater than its marginal \cost (MC), what is the optimal quantity of output to produce?
A. Increase production to the point where MR = MC
B. Decrease production to the point where MR = MC
C. Produce the quantity where MR > MC
D. Produce the quantity where MR < MC

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