POST UTME IGBINEDION UNIVERSITY 2025 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm's production function is given by \( Q = 2L^2 + 3K^2 \). If the firm's \cost function is \( C = 10L + 20K \), find the firm's optimal values of L and K.
A. L = 2, K = 3
B. L = 3, K = 2
C. L = 4, K = 4
D. L = 5, K = 5
Question 2
A country's GDP is ₦1,500,000,000,000. If the population is 200,000,000, what is the per capita income?
A. ₦7,500
B. ₦7,500,000
C. ₦7,500,000,000
D. ₦7,500,000,000,000
Question 3
A country's inflation rate is given by \( pi = \frac{P - P_0}{P_0} \times 100 \). If the current price index is 120 and the base price index is 100, find the country's inflation rate.
A. 20%
B. 30%
C. 40%
D. 50%
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
The demand for a commodity 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 6
A firm has a \cost function C = 100 + 2L + 3K, where C is the \cost, L is the labor and K is the capital. If the firm wants to minimize its \cost, what is the optimal combination of labor and capital?
A. L = 50, K = 100
B. L = 100, K = 50
C. L = 150, K = 50
D. L = 50, K = 150
Question 7
The demand function for a product is given by \( Q = 100 - 2P \). If the supply function is \( Q = 2P - 10 \), find the equilibrium price and quantity.
A. P = 20, Q = 60
B. P = 30, Q = 70
C. P = 40, Q = 80
D. P = 50, Q = 90
Question 8
A consumer's indifference curve is given by the equation ( U(x,y) = 2x + 3y ). If the consumer's income is ₦1000 and the prices of x and y are ₦5 and ₦3 respectively, find the consumer's optimal bundle of x and y.
A. x = 60, y = 40
B. x = 40, y = 60
C. x = 50, y = 50
D. x = 70, y = 30
Question 9
A monopolist faces a demand curve with a cons\tant elasticity of -3. If the monopolist's marginal revenue (MR) is given by MR = 150 - 3Q, where Q is the quantity sold, find the monopolist's optimal quantity and price.
A. Q = 20, P = 90
B. Q = 30, P = 60
C. Q = 40, P = 30
D. Q = 50, P = 0
Question 10
A firm's total revenue (TR) is given by TR = 200Q - 4Q^2, where Q is the quantity sold. If the firm's marginal \cost (MC) is given by MC = 20 + 4Q, find the firm's optimal quantity and price.
A. Q = 10, P = 80
B. Q = 20, P = 60
C. Q = 30, P = 40
D. Q = 40, P = 20
Question 11
A country has a trade deficit of $100 million and a GDP of $500 billion. If the country's exchange rate is 1 USD = 100 Naira, what is the percentage change in the value of the Naira?
A. -0.02%
B. -0.05%
C. -0.1%
D. -0.2%
Question 12
A firm has a revenue function R = 100L + 200K, where R is the revenue, L is the labor and K is the capital. If the firm wants to maximize its revenue, what is the optimal combination of labor and capital?
A. L = 100, K = 50
B. L = 50, K = 100
C. L = 150, K = 50
D. L = 50, K = 150
Question 13
A consumer has an indifference curve given by the equation U = 2X + 3Y, where U is the utility, X is the quantity of good X, and Y is the quantity of good Y. If the consumer's budget constraint is given by the equation 200X + 300Y = 1000, what is the consumer's optimal bundle of goods?
A. X = 2, Y = 1
B. X = 3, Y = 2
C. X = 4, Y = 3
D. X = 5, Y = 4
Question 14
A country's balance of payments is given by the equation BOP = X - M + \( F - I \). If the country's current level of exports (X) is ₦200 billion, the current level of imports (M) is ₦150 billion, the current level of foreign investment (F) is ₦75 billion, and the current level of domestic investment (I) is ₦50 billion, what is the country's current balance of payments (BOP)?
A. ₦25 billion
B. ₦50 billion
C. ₦75 billion
D. ₦100 billion
Question 15
A consumer has an income of ₦1000 and faces the following prices for two goods: X = ₦200 and Y = ₦300. If the consumer's budget constraint is given by the equation 200X + 300Y = 1000, what is the consumer's optimal bundle of goods?
A. X = 2, Y = 1
B. X = 3, Y = 2
C. X = 4, Y = 3
D. X = 5, Y = 4

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