POST UTME RHEMA UNIVERSITY 2024 Economics | Objective
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Question 1
A country's GDP is given by the equation GDP = C + I + G + \( X - M \). If the country's GDP increases by 10% due to a 5% increase in consumption, a 10% increase in investment, and a 15% increase in government sp\ending, what is the percentage change in net exports?
Question 2
A country's GDP is ₦100 billion, its imports are ₦20 billion, and its exports are ₦30 billion. What is the country's net foreign income?
Question 3
A firm's demand function for a product is given by Q = 100 - 2P, where Q is the quantity demanded and P is the price. If the firm wants to maximize its revenue, what is the optimal price?
Question 4
A firm's revenue function is given by R(x) = 20x - 0.5x^2. If the firm's \cost function is C(x) = 2x^2 + 5x + 10, what is the profit-maximizing level of output?
Question 5
The Marshall-Lerner condition states that a country's balance of payments will improve if the sum of the percentage changes in its export and import prices exceeds a certain threshold. What is the name of this threshold?
Question 6
A firm's total revenue is given by the equation TR = 100q - 2q^2, where q is the quantity sold. If the firm's marginal revenue is 80 when q = 10, what is the value of the firm's total revenue?
Question 7
A monopolistically competitive firm faces a demand curve given by Qd = 100 - 2P. If the firm produces at a level where MR = MC, what is the price elasticity of demand?
Question 8
A firm's average total \cost (ATC) curve is U-shaped. If the firm's short-run ATC curve is initially downward sloping, what can be inferred about the firm's production techno\logy?
Question 9
A country's GDP is ₦1,000 billion. The country's imports are ₦200 billion and its exports are ₦300 billion. What is the country's balance of trade?
Question 10
Consider a market with a demand function Qd = 100 - 2p and a supply function Qs = 2p - 10. If the market is initially in equilibrium, and then a shift in supply occurs, cau\sing the supply function to become Qs = p - 5, what will be the new equilibrium price and quantity?
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 wL = ₦100 and rK = ₦150, and the firm's current output price is p = ₦200, what is the firm's current profit-maximizing level of output?
Question 12
A firm's production function is given by Q = 10L^0.5K^0.5. If the firm's output increases by 20% due to a 10% increase in labor and a 15% increase in capital, what is the marginal product of labor?
Question 13
A firm's production function is given by the equation Q = 2L^0.5K^0.5, where Q is the output, L is the labor, and K is the capital. If the firm wants to increase its output by 20%, what percentage increase in labor and capital is required?
Question 14
A farmer produces wheat and maize. The production functions for wheat and maize are given by W(x, y) = 2x^0.5y^0.5 and M(x, y) = 3x^0.5y^0.5 respectively. If the farmer has 100 units of labor and 50 units of capital, what is the maximum output of wheat?
Question 15
A firm's revenue function is given by R = 2Q^2 - 10Q + 20, where R is the revenue and Q is the quantity sold. If the firm sells 20 units, what is its revenue?
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