POST UTME LAUTECH 2025 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's labor (L) increases by 10% and its capital (K) remains cons\tant, what will be the effect on its output?
Question 2
A country's GNP is ₦15 trillion, its GDP is ₦12 trillion, and its net factor income from abroad is ₦1 trillion. What is its national income?
Question 3
A firm's \cost function is given by the equation C(x) = 100 + 2x^2, where C(x) is the total \cost and x is the number of units produced. If the firm's revenue function is given by the equation R(x) = 100x - 2x^2, what is the firm's profit function?
Question 4
A firm's demand function is Q = 100 - 2P, where Q is quantity demanded and P is price. If the firm's current price is ₦20, how many units will it sell?
Question 5
Consider a firm with a production function Q = 2L^0.5K^0.5, where Q is output, L is labor, and K is capital. If the firm's current input prices are w = ₦100 per unit of labor and r = ₦200 per unit of capital, and the firm's current output price is p = ₦500 per unit, calculate the firm's current profit-maximizing input combination.
Question 6
A firm is producing a good u\sing a production function given by Q = 2L^0.5K^0.5. If the firm has 100 units of Labour and 200 units of Capital, what is the value of the marginal product of Capital?
Question 7
A country's elasticity of demand is given by the equation E = \( ΔQd / ΔP \) × \( P / Qd \), where E is the elasticity of demand, ΔQd is the change in quantity demanded, ΔP is the change in price, P is the price, and Qd is the quantity demanded. If the country's demand curve is given by the equation Qd = 100 - 2P, what is the elasticity of demand when P = ₦30 and Qd = 40?
Question 8
A consumer has the following utility function: U = 2x^0.5y^0.5. If the prices of x and y are $2 and $3 respectively, and the consumer has an income of $100, what is the optimal bundle of x and y that the consumer will choose?
Question 9
A country is experiencing a trade deficit of $100 million. If the exchange rate is 1 USD = 100 Naira, what is the equivalent trade deficit in Naira?
Question 10
A firm's demand curve is given by the equation Qd = 100 - 2P, where Qd is the quantity demanded and P is the price. If the firm's supply curve is given by the equation Qs = 2P - 100, what is the equilibrium price?
Question 11
A firm produces two goods, X and Y, u\sing two inputs, Labour (L) and Capital (K). The production function for good X is given by X = 2L^0.5K^0.5, while that for good Y is given by Y = 3L^0.25K^0.75. If the firm has 100 units of Labour and 200 units of Capital, what is the value of the elasticity of substitution between Labour and Capital?
Question 12
A government is considering a tax on a good that is currently untaxed. If the tax is set at 10% of the good's price, and the demand for the good is elastic, what will happen to the quantity demanded?
Question 13
A country's GDP is ₦100 billion, its imports are ₦20 billion, and its exports are ₦15 billion. What is its net foreign exchange earnings?
Question 14
A firm operates in a perfectly competitive market with a demand curve given by Q = 100 - 2P and a supply curve given by Q = 10 + 3P. What is the equilibrium price and quantity?
Question 15
U\sing the Marshall-Lerner condition, determine the effect of a 10% depreciation in the exchange rate on the balance of payments of a country.
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