POST UTME EKSU 2020 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A country's GNP is the sum of its GDP and net factor income from abroad. What is the formula for calculating a country's GNP?
A. GNP = GDP + \( X - M \)
B. GNP = GDP + \( X + M \)
C. GNP = GDP + \( X - I \)
D. GNP = GDP + \( X + I \)
Question 2
A consumer's utility function is given by ( u(x,y) = xy ). If the consumer's income is ₦1000 and the prices of x and y are ₦5 and ₦3 respectively, find the optimal bundle of x and y.
A. (100, 100)
B. (200, 50)
C. (50, 200)
D. (0, 0)
Question 3
A firm's total revenue is given by the equation TR = 2x^2 + 10x. What is the marginal revenue function?
A. 4x + 10
B. 2x + 5
C. x + 5
D. x - 5
Question 4
A farmer in Nigeria decides to allocate 50% of his land to maize and 50% to yam. If the yield per hectare for maize is 5 tons and for yam is 3 tons, what is the total yield for the farmer?
A. 20 tons
B. 25 tons
C. 30 tons
D. 35 tons
Question 5
A monopolist faces a demand curve given by Q = 100 - 2P. The inverse demand function is Q = 2P + 50. The monopolist's marginal \cost is MC = 10 + 2Q. Find the profit-maximizing price and quantity.
A. P = 25, Q = 75
B. P = 30, Q = 80
C. P = 35, Q = 85
D. P = 40, Q = 90
Question 6
A firm produces two products, A and B. The production process involves two inputs, labor and capital. The production function for product A is given by Q_A = 2L^0.5K^0.5, where Q_A is the quantity of product A produced, L is the amount of labor used, and K is the amount of capital used. The production function for product B is given by Q_B = 3L^0.2K^0.8, where Q_B is the quantity of product B produced. If the firm uses 100 units of labor and 200 units of capital, what is the total output of the firm?
A. 100
B. 200
C. 300
D. 400
Question 7
A country's balance of payments account shows a trade deficit of $10 billion. If the country's GDP is $500 billion, what is the trade deficit as a percentage of GDP?
A. 2%
B. 3%
C. 4%
D. 5%
Question 8
A firm's demand for labor is given by the equation Q = 100L^0.5, where Q is the quantity of labor demanded and L is the wage rate. If the wage rate increases from $10 to $15, what is the percentage change in the quantity of labor demanded?
A. -20%
B. -10%
C. 0%
D. 10%
Question 9
A firm's demand function is given by Qd = 100 - 2P. If the firm's supply function is given by Qs = 2P - 10, what is the equilibrium price?
A. $20
B. $30
C. $40
D. $50
Question 10
A firm's production function is given by the equation Q = 2L^0.5K^0.5, where Q is the quantity produced, L is the labor input, and K is the capital input. If the firm increases its labor input from 4 to 6 units and its capital input from 9 to 12 units, what is the percentage change in the quantity produced?
A. 10%
B. 20%
C. 30%
D. 40%
Question 11
A farmer has 100 hectares of land and can grow either wheat or maize. The revenue from wheat is ₦100,000 per hectare, while the revenue from maize is ₦80,000 per hectare. If the opportunity \cost of growing maize is ₦20,000 per hectare, what is the opportunity \cost of growing wheat?
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 12
A firm's \cost function is given by C = 2Q^2 + 10Q + 100. If the firm's revenue function is R = 3Q^2 + 20Q, find the profit-maximizing quantity.
A. Q = 5
B. Q = 10
C. Q = 15
D. Q = 20
Question 13
Suppose a country's GDP is $100 billion, and its GNP is $120 billion. What is the net factor income from abroad?
A. $20 billion
B. $30 billion
C. $40 billion
D. $50 billion
Question 14
A monopolist's demand function is given by Q = 100 - 2P. If the firm's marginal \cost is ₦20, what is the monopolist's optimal price?
A. ₦40
B. ₦50
C. ₦60
D. ₦70
Question 15
A firm has the following \cost and revenue functions: C(Q) = 2Q^2 + 10Q + 100 and R(Q) = 3Q^2 - 5Q + 50. What is the profit-maximizing quantity of output?
A. 5
B. 10
C. 15
D. 20

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