Post Utme Uniport 2023 Economics Question 3

Practice objective / multiple choice question 3 from the 2023 Post Utme Uniport Economics examination.

Post Utme Uniport 2023 Economics Objective / Multiple Choice
Question 3 POST_UTME_UNIPORT • 2023 • ECONOMICS • objective

A monopolistically competitive firm faces the following demand curve: Q = 100 - 2P. The firm's marginal \cost curve is MC = ₦20. U\sing the concept of profit maximization, determine the firm's optimal price and quantity.

Answer Options

A. The firm's optimal price is ₦40, and the optimal quantity is 40 units.
Correct Answer B. The firm's optimal price is ₦50, and the optimal quantity is 50 units.
C. The firm's optimal price is ₦60, and the optimal quantity is 60 units.
D. The firm's optimal price is ₦70, and the optimal quantity is 70 units.
Correct Answer
B
Correct Option:
The firm's optimal price is ₦50, and the optimal quantity is 50 units.

About This Question

This is Post Utme Uniport 2023 Economics Question 3. It is one of the objective questions from the 2023 Post Utme Uniport Economics examination.

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