POST UTME ESUT 2025 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
The demand for a product is given by Qd = 100 - 2P, where Qd is the quantity demanded and P is the price. The supply of the product is given by Qs = 2P - 100. What is the equilibrium price and quantity?
A. P = 50, Q = 100
B. P = 75, Q = 150
C. P = 100, Q = 200
D. P = 125, Q = 250
Question 2
Consider a country with a GDP of ₦15 trillion and a GNP of ₦18 trillion. What is the net factor income from abroad?
A. ₦3 trillion
B. ₦2 trillion
C. ₦1.5 trillion
D. ₦1 trillion
Question 3
Consider a country with a GDP of ₦10 trillion and a GNP of ₦12 trillion. What is the net factor income from abroad?
A. ₦2 trillion
B. ₦1 trillion
C. ₦0.5 trillion
D. ₦0.2 trillion
Question 4
A consumer's utility function is given by U = 2x + 3y, where x and y are the quantities of two goods. If the consumer's income is ₦100 and the prices of the two goods are ₦5 and ₦10 respectively, what is the consumer's optimal bundle of goods?
A. x = 10, y = 5
B. x = 15, y = 3
C. x = 20, y = 2
D. x = 25, y = 1
Question 5
A firm's production function is given by Q = 2L^\( 1/2 \)K^\( 1/2 \). If the firm uses 100 units of labor and 100 units of capital, calculate the firm's output.
A. Q = 100
B. Q = 200
C. Q = 400
D. Q = 800
Question 6
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 marginal revenue is \( MR = 100 - 4x \), find the value of ( x ) at which the firm's revenue is maximized.
A. 5
B. 10
C. 15
D. 20
Question 7
A firm's \cost function is given by C = 2L + 3K, where C is total \cost, L is labor and K is capital. If the firm's current labor and capital inputs are 4 and 9 units respectively, what is the firm's total \cost?
A. 25
B. 30
C. 35
D. 40
Question 8
A country's GDP is given by GDP = C + I + G + \( X - M \), where C is consumption, I is investment, G is government sp\ending, X is exports and M is imports. If the country's GDP is 1000, consumption is 300, investment is 200, government sp\ending is 150, exports are 250 and imports are 100, what is the country's trade balance?
A. ₦50
B. ₦100
C. ₦150
D. ₦200
Question 9
A government is considering a tax on a particular good. The supply curve for the good is given by the equation Q = 2P + 10, where Q is the quantity supplied and P is the price. If the government wants to raise revenue of ₦1000, what tax rate should it impose?
A. 10%
B. 20%
C. 30%
D. 40%
Question 10
A firm's production function is given by \( Q = 3L^{\frac{2}{3}}K^{\frac{1}{3}} \), where Q is output, L is labor, and K is capital. If the marginal product of labor is 10, and the price of labor is ₦75 per unit, what is the optimal level of labor to maximize profits?
A. 20 units
B. 30 units
C. 40 units
D. 50 units
Question 11
Consider a firm operating in a perfectly competitive market with a production function Q = 2L^0.5K^0.5. If the firm's current input prices are w = 10 and r = 20, and it is currently producing 100 units of output, what is the firm's current average \cost of production?
A. ₦1000
B. ₦1200
C. ₦1500
D. ₦1800
Question 12
A country's balance of payments account is given by the following equation: BOP = \( X - M \) + \( F - I \) + \( S - T \), where BOP is the balance of payments, X is exports, M is imports, F is foreign investment, I is domestic investment, S is savings and T is taxes. If the country's exports increase by 15%, imports decrease by 10%, foreign investment increases by 20%, domestic investment decreases by 15%, savings increase by 12% and taxes decrease by 8%, what is the new balance of payments?
A. ₦1500
B. ₦1800
C. ₦2000
D. ₦2200
Question 13
A firm's production function is given by Q = 2L^0.5H^0.5, where Q is output, L is labor and H is capital. If the firm wants to increase output by 20% while keeping labor cons\tant, what percentage increase in capital is required?
A. 10%
B. 20%
C. 30%
D. 40%
Question 14
A country's GDP is ₦1 trillion, its imports are ₦200 billion, and its government exp\enditure is ₦300 billion. What is the country's national income?
A. ₦1.2 trillion
B. ₦1.3 trillion
C. ₦1.4 trillion
D. ₦1.5 trillion
Question 15
A firm is considering the introduction of a new product. The demand for the product is given by the equation Q = 100 - 2P, where Q is the quantity demanded and P is the price. If the firm wants to maximize its revenue, what quantity should it produce?
A. Q = 20
B. Q = 50
C. Q = 70
D. Q = 90

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