POST UTME JOSEPH AYO BABALOLA UNIVERSITY 2018 Economics | Objective
Practice these randomly selected questions to test your readiness.
Question 1
A firm is producing a good with a total revenue of ₦1,500 and a total \cost of ₦1,200. If the price elasticity of demand is 1.5, what is the price at which the firm should produce to maximize profits?
Question 2
A country's national income accounting identity is given by the equation \( Y = C + I + G + \( X - M \ \) ), where ( Y ) is the national income, ( C ) is the consumption, ( I ) is the investment, ( G ) is the government sp\ending, ( X ) is the exports, and ( M ) is the imports. If the country's national income is $1000, consumption is $300, investment is $200, government sp\ending is $100, exports are $200, and imports are $100, what is the trade balance?
Question 3
The demand for a product is given by the equation Q = 100 - 2P, where Q 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%?
Question 4
A consumer's utility function is given by U = 2x + 3y, where x and y are the quantities of two goods consumed. If the consumer's budget constraint is 10x + 5y = 100, what is the optimal combination of x and y that maximizes utility?
Question 5
A farmer is producing a crop with a yield of 100 kg/ha. The price of the crop is ₦500/kg. What is the total revenue of the farmer from 10 hectares of land?
Question 6
The concept of returns to scale in production theory implies that as the input factors increase, the output will increase at a rate of:
Question 7
The GDP of a country is given by the equation 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 100 billion, consumption is 60 billion, investment is 20 billion, government sp\ending is 10 billion, exports are 15 billion, and imports are 5 billion, what is the value of net exports?
Question 8
A firm's \cost function is given by C(q) = 100 + 20q. If the market price is $20, find the firm's profit-maximizing quantity.
Question 9
A firm's production function is given by Q = 2L^0.5K^0.5. If the firm's labor and capital inputs are 100 and 400 respectively, what is the firm's output?
Question 10
A firm's \cost function is given by C(q) = 100 + 20q. If the market price is $20, find the firm's average \cost.
Question 11
A country's balance of payments (BOP) accounts are given by the following equations: \( CA = 100 + 0.5Y \) and \( SA = 50 + 0.2Y \), where ( CA ) is the current account balance and ( SA ) is the capital account balance. If the country's GDP is $1000, what is the BOP deficit?
Question 12
A firm operating in a perfectly competitive market has a total revenue function given by TR = 100q - 2q^2. If the market price is $10, find the firm's total revenue when it produces 20 units.
Question 13
A firm's \cost function is given by C(q) = 100 + 20q. If the market price is $20, find the firm's profit.
Question 14
A firm's production function is given by the equation \( Q = 10L^0.5K^0.5 \), where ( Q ) is the output, ( L ) is the labor, and ( K ) is the capital. If the firm is currently producing 100 units with 10 units of labor and 10 units of capital, what is the marginal product of labor?
Question 15
A firm's production function is given by the equation Q = 2L^0.5K^0.5, where Q is output, L is labor, and K is capital. If the firm's current labor and capital inputs are 100 and 400 respectively, what is the marginal product of labor?
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