POST UTME SUMMIT UNIVERSITY 2020 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm's revenue function is given by R(x) = 2x^2 + 5x + 1. If the firm's marginal revenue is 10, find the value of x.
A. 1
B. 2
C. 3
D. 4
Question 2
Suppose the demand for a product is given by Q_d = 100 - 2P and the supply is given by Q_s = 2P - 10. If the market is in equilibrium, what is the price of the product?
A. 15
B. 20
C. 25
D. 30
Question 3
A consumer's utility function is given by U = 2x + 3y. If the consumer's current income is ₦1000 and the prices of x and y are ₦5 and ₦3, respectively, what is the consumer's optimal bundle of x and y?
A. x = 20, y = 10
B. x = 15, y = 15
C. x = 10, y = 20
D. x = 5, y = 25
Question 4
A firm's revenue function is given by R(x) = 100x - 2x^2. The marginal revenue function is
A. R'(x) = 100 - 4x
B. R'(x) = 100 + 4x
C. R'(x) = 100 - 2x
D. R'(x) = 100 + 2x
Question 5
A country's agricultural sector is characterized by a production function Q = 100L^0.5K^0.5, where L is labor and K is capital. What is the returns to scale?
A. Increa\sing returns to scale
B. Decrea\sing returns to scale
C. Cons\tant returns to scale
D. Negative returns to scale
Question 6
A firm's total revenue is given by TR = 100Q - 2Q^2. If the firm's marginal revenue is MR = 100 - 4Q, what is the optimal quantity to maximize profits?
A. Q = 10
B. Q = 15
C. Q = 20
D. Q = 25
Question 7
A monopolist faces a downward-sloping demand curve. If the demand curve is
A. more inelastic
B. more elastic
C. less elastic
D. more inelastic than the demand curve for a perfectly competitive firm
Question 8
Suppose the demand for a product is given by the equation Qd = 100 - 2P and the supply is given by Qs = 2P - 10. Find the equilibrium price and quantity.
A. ₦50, 60
B. ₦40, 70
C. ₦30, 80
D. ₦20, 90
Question 9
The balance of payments accounts are used to record
A. all international transactions between a country and its trading partners
B. only the current account transactions
C. only the capital account transactions
D. only the financial account transactions
Question 10
A firm's demand function is given by Q = 100 - 2P. If the firm's current price is ₦20, what is the firm's current quantity demanded?
A. 60
B. 80
C. 90
D. 100
Question 11
A consumer's indifference curve is given by U = 2x + 3y. If the consumer's current income is ₦1000 and the prices of x and y are ₦5 and ₦3, respectively, what is the consumer's optimal bundle of x and y?
A. x = 20, y = 10
B. x = 15, y = 15
C. x = 10, y = 20
D. x = 5, y = 25
Question 12
A country's GDP is ₦100 billion, its imports are ₦20 billion, and its exports are ₦15 billion. What is its net foreign income?
A. ₦5 billion
B. ₦10 billion
C. ₦15 billion
D. ₦20 billion
Question 13
A consumer's utility function is given by U = 2x + 3y. If the consumer's current income is ₦1000 and the prices of x and y are ₦5 and ₦3, respectively, what is the consumer's optimal bundle of x and y?
A. x = 20, y = 10
B. x = 15, y = 15
C. x = 10, y = 20
D. x = 5, y = 25
Question 14
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?
A. The Marshall-Lerner condition
B. The J-curve effect
C. The Balance of Payments Identity
D. The Elasticity Condition
Question 15
A consumer's budget is ₦1000. If the consumer's price elasticity of demand is 0.5, what is the optimal quantity to purchase?
A. Q = 10
B. Q = 20
C. Q = 30
D. Q = 40

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