POST UTME AAUA 2021 Economics | Objective
Practice these randomly selected questions to test your readiness.
Question 1
A firm's production function is given by Q = 2L^0.5K^0.5. If the firm wants to increase its output by 20% and the labor input is fixed at 100 units, what is the required increase in the capital input?
Question 2
Suppose a firm is producing a good with a cons\tant elasticity of demand of 2. If the price of the good increases by 10%, what is the percentage change in the quantity demanded?
Question 3
A firm's production function is given by Q = 2L^0.5K^0.5. If the firm wants to increase its output by 20% and the labor input is fixed at 100 units, what is the required increase in the capital input?
Question 4
A country's GDP is calculated as the sum of all final goods and services produced within its borders. However, if a country imports goods and services, should they be included in the GDP calculation?
Question 5
A firm's production function is given by Q = 100K^\( 1/2 \)L^\( 1/2 \), where K is capital and L is labor. If the firm's output is 100 units when K = 400 and L = 400, what is the marginal product of labor?
Question 6
A firm's production function is given by Q = 2L^0.5K^0.5, where Q is output, L is labor, and K is capital. If the firm wants to produce 100 units of output, and the wage rate is $10 per unit of labor, and the rental rate of capital is $5 per unit of capital, what is the optimal level of labor?
Question 7
A firm's revenue function is given by R(q) = 3q^2 + 5q + 2. If the firm produces 5 units of the good, what is the marginal revenue?
Question 8
A consumer has an income of $100 and faces a budget constraint given by \( P_1 x_1 + P_2 x_2 = 100 \). The prices of the two goods are \( P_1 = 20 \) and \( P_2 = 30 \). If the consumer chooses to sp\end all their income on good 1, what is the opportunity \cost of good 2?
Question 9
A country's balance of payments account is in equilibrium when the current account is equal to the capital account. If the current account is $100 billion and the capital account is $50 billion, what is the value of the trade balance?
Question 10
A country's balance of payments account is in equilibrium when the current account is equal to the capital account. If the current account is ₦100 billion and the capital account is ₦150 billion, what is the balance of payments deficit?
Question 11
A country's inflation rate is 5% per annum. If the price level is ₦100, what is the new price level after one year?
Question 12
A firm's demand curve is given by Qd = 100 - 2P, where Qd is the quantity demanded and P is the price. The supply curve is given by Qs = 2P - 50. Find the equilibrium price and quantity.
Question 13
A firm's \cost function is given by C = 100 + 2Q + 0.01Q^2, where Q is the firm's output. If the firm produces 1000 units of output, what is the firm's total \cost?
Question 14
A country's balance of payments account shows a trade deficit of $100 million and a capital account surplus of $150 million. What is the overall balance of payments position?
Question 15
A firm's demand curve is given by Q = 100 - 2P, where Q is quantity demanded and P is price. If the firm's marginal revenue is $5, what is the optimal price?
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