POST UTME WELLSPRING UNIVERSITY 2022 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm's total revenue is given by the equation TR = 100x - 2x^2, where x is the number of units sold. If the firm's total \cost is given by the equation TC = 50x + 100, find the profit-maximizing level of output.
A. 20 units
B. 30 units
C. 40 units
D. 50 units
Question 2
A monopolist's marginal revenue curve lies below the
A. demand curve
B. average revenue curve
C. marginal \cost curve
D. average \cost curve
Question 3
The government of Nigeria is considering a policy to increase the production of agricultural products. If the current GDP is ₦10 trillion and the government expects an increase of 10% in agricultural production, what will be the new GDP?
A. ₦11 trillion
B. ₦11.1 trillion
C. ₦11.2 trillion
D. ₦11.3 trillion
Question 4
The demand for a product is given by the equation Qd = 100 - 2P, where Qd is the quantity demanded and P is the price. If the price elasticity of demand is 0.5, what is the percentage change in quantity demanded when the price increases by 10%?
A. 5%
B. 10%
C. 15%
D. 20%
Question 5
A country's money supply is ₦1,000 billion, its velocity of money is 2, and its price level is ₦100. What is the country's nominal GDP?
A. ₦2,000 billion
B. ₦3,000 billion
C. ₦4,000 billion
D. ₦5,000 billion
Question 6
A government imposes a tax on imported goods to raise revenue. The tax is levied at a rate of 15% of the value of the good. If the value of the good is ₦10,000, what is the amount of tax paid?
A. ₦1,000
B. ₦1,500
C. ₦2,000
D. ₦2,500
Question 7
The money supply in an economy is influenced by the
A. central bank
B. commercial banks
C. government
D. foreign investors
Question 8
A firm produces two goods, X and Y, u\sing two inputs, labor (L) and capital (K). The production functions are given by X = 2L + 3K and Y = 4L + 2K. If the firm has 10 units of labor and 5 units of capital, what is the total output?
A. 30
B. 40
C. 50
D. 60
Question 9
A firm's demand curve is given by the equation Qd = 100 - 2P, where Qd is the quantity demanded and P is the price. If the firm's supply curve is given by the equation Qs = 2P - 50, where Qs is the quantity supplied, what is the equilibrium price and quantity?
A. P = ₦50, Q = 25
B. P = ₦75, Q = 25
C. P = ₦100, Q = 50
D. P = ₦125, Q = 75
Question 10
A firm operating in a perfectly competitive market is characterized by which of the following?
A. A \single price setter
B. A large number of firms producing a homogeneous product
C. A firm that can influence the market price
D. A firm that produces a differentiated product
Question 11
A country's GDP is ₦1,500 billion, its imports are ₦300 billion, and its exports are ₦200 billion. What is the country's net foreign income?
A. ₦1,100 billion
B. ₦1,200 billion
C. ₦1,300 billion
D. ₦1,400 billion
Question 12
A consumer has a budget constraint of ₦100, and the prices of two goods, X and Y, are ₦5 and ₦10, respectively. If the consumer's indifference curve is given by the equation U = 2X + 3Y, what is the optimal consumption bundle?
A. X = 10, Y = 20
B. X = 15, Y = 15
C. X = 20, Y = 10
D. X = 25, Y = 5
Question 13
A firm is producing a good with the following \cost function: C(q) = 2q^2 + 10q + 100. If the price of the good is $5, what is the profit-maximizing quantity of the good?
A. 10 units
B. 20 units
C. 30 units
D. 40 units
Question 14
A consumer's utility function is given by U(x,y) = 2x + 3y. If the consumer has a budget constraint of 100 and the prices of x and y are 5 and 10 respectively, what is the optimal consumption bundle?
A. (10, 0)
B. (5, 5)
C. (0, 10)
D. (15, 5)
Question 15
The government of Nigeria is considering a policy to increase the production of industrial goods. If the current GNP is ₦15 trillion and the government expects an increase of 15% in industrial production, what will be the new GNP?
A. ₦17.25 trillion
B. ₦17.5 trillion
C. ₦17.75 trillion
D. ₦18 trillion

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