POST UTME RHEMA UNIVERSITY 2021 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A country's GDP is 100 billion naira. If the country's GNP is 120 billion naira, what is the value of net factor income from abroad?
A. 20 billion naira
B. 30 billion naira
C. 40 billion naira
D. 50 billion naira
Question 2
A government imposes a tax of $10 per unit on a firm that produces a good with a price elasticity of demand of -2. If the firm's initial output is 100 units, what is the new output level after the tax is imposed?
A. 80 units
B. 90 units
C. 100 units
D. 110 units
Question 3
Consider a firm operating in a perfectly competitive market with a production function given by Q = 2L^\( 1/2 \)K^\( 1/2 \). If the price of the good is $10 and the firm's \cost function is C = 5L + 3K, what is the optimal level of labor (L) and capital (K) that the firm should employ?
A. \( L = 100, K = 100 \)
B. \( L = 50, K = 50 \)
C. \( L = 200, K = 200 \)
D. \( L = 25, K = 25 \)
Question 4
A country's balance of payments is given by the equation BOP = 100 + 2X - 3M. If the country's exports are ₦200 billion and its imports are ₦300 billion, what is its balance of payments?
A. ₦100 billion
B. ₦200 billion
C. ₦300 billion
D. ₦400 billion
Question 5
A firm's supply function is given by Q = 2P + 100. If the price is decreased by 20%, what is the new quantity supplied?
A. 120
B. 140
C. 160
D. 180
Question 6
A monopolist faces a demand curve given by the equation Qd = 100 - 2P. If the firm's marginal \cost is 10, what is the value of P?
A. 20
B. 30
C. 40
D. 50
Question 7
A firm's \cost function is given by the formula ( C(q) = 2q^2 + 5q + 10 ), where ( q ) is the quantity produced. If the firm produces 10 units, what is the total \cost?
A. $150
B. $250
C. $350
D. $450
Question 8
A firm's \cost function is given by the equation C(x) = 100 + 2x^2. If the firm produces 10 units, what is its total \cost?
A. ₦300
B. ₦400
C. ₦500
D. ₦600
Question 9
The following diagram shows the supply and demand curves for a particular good. If the price of the good is currently at ( )₦50, what is the equilibrium quantity?
A. 10
B. 20
C. 30
D. 40
Question 10
A country's GDP is $100 billion, and its GNP is $120 billion. What is the country's net factor income from abroad?
A. $20 billion
B. $10 billion
C. $30 billion
D. $40 billion
Question 11
A firm's total \cost is given by the equation TC = 100 + 2q^2. If the firm's marginal revenue is 50, what is the value of q?
A. 20
B. 30
C. 40
D. 50
Question 12
A firm's total revenue is given by the formula \( TR = pq \), where ( p ) is the price and ( q ) is the quantity sold. If the price is $10 and the quantity sold is 100 units, what is the total revenue?
A. $1000
B. $10000
C. $100000
D. $1000000
Question 13
A firm's production function is given by \( Q = 10L^2 \), where ( Q ) is the quantity produced and ( L ) is the quantity of labor used. If the firm wants to produce 100 units of output, how many units of labor will it need to use?
A. 5
B. 10
C. 15
D. 20
Question 14
A consumer's indifference curve is given by the equation U = 2x + 3y. The consumer's budget constraint is given by the equation 2x + 4y = 100. What is the consumer's optimal bundle?
A. (x, y) = (20, 15)
B. (x, y) = (25, 10)
C. (x, y) = (30, 5)
D. (x, y) = (35, 0)
Question 15
A country's GDP is given by the formula \( 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 $50 billion, investment is $20 billion, government sp\ending is $30 billion, exports are $40 billion, and imports are $20 billion, what is the value of \( X - M \)?
A. $10 billion
B. $20 billion
C. $30 billion
D. $40 billion

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