Post Utme Uniosun 2020 Economics Question 10

Practice objective / multiple choice question 10 from the 2020 Post Utme Uniosun Economics examination.

Post Utme Uniosun 2020 Economics Objective / Multiple Choice

Question 10 POST_UTME_UNIOSUN • 2020 • ECONOMICS • objective

A firm's production function is given by Q = 3L^0.5K^0.5, where Q is output, L is labor and K is capital. If the price of labor is ₦150 per unit and the price of capital is ₦300 per unit, and if the firm's budget constraint is 150L + 300K = 1500, determine the optimal values of L and K.

Answer Options

Correct Answer A. L = 10, K = 5

B. L = 5, K = 10

C. L = 20, K = 2

D. L = 2, K = 20

Correct Answer

Correct Option:

L = 10, K = 5

About This Question

This is Post Utme Uniosun 2020 Economics Question 10. It is one of the objective questions from the 2020 Post Utme Uniosun Economics examination.

View More Post Utme Uniosun 2020 Economics Questions More Post Utme Uniosun Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows

Chat with Support