POST UTME UNILORIN 2018 Economics | Objective

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Question 1
A consumer's budget constraint is given by \( 50x + 75y = 1000 \), where ( x ) and ( y ) are the quantities of two goods. If the consumer's utility function is \( U = 2x + 3y \), find the optimal bundle of goods that maximizes the consumer's utility.
A. \( x = 10, y = 5 \)
B. \( x = 5, y = 10 \)
C. \( x = 15, y = 3 \)
D. \( x = 20, y = 2 \)
Question 2
A monopolist faces a demand curve given by Qd = 100 - 2P and a \cost function C(Q) = 10Q + 20Q^2. Find the profit-maximizing quantity and price.
A. ₦60, 40 units
B. ₦50, 30 units
C. ₦40, 20 units
D. ₦30, 10 units
Question 3
A firm's production function is given by Q = 2L^0.5K^0.5. If the firm's labor and capital inputs are increased by 20% and 15% respectively, what is the percentage change in output?
A. 10%
B. 15%
C. 20%
D. 25%
Question 4
Consider a perfectly competitive market with n firms, each producing a homogeneous product. If the market demand curve is given by Qd = 100 - 2P and the supply curve is given by Qs = 10 + 3P, find the equilibrium price and quantity.
A. ₦50, 80 units
B. ₦40, 60 units
C. ₦30, 40 units
D. ₦20, 20 units
Question 5
A country's balance of payments account shows a trade deficit of ₦500 billion. What is the effect on the country's exchange rate?
A. The exchange rate appreciates
B. The exchange rate depreciates
C. The exchange rate remains the same
D. The exchange rate fluctuates
Question 6
A consumer has a utility function U(x, y) = 2x + 3y. The prices of x and y are ₦5 and ₦10 respectively. Find the consumer's budget constraint.
A. 2x + 3y = ₦50
B. 2x + 3y = ₦100
C. 2x + 3y = ₦200
D. 2x + 3y = ₦300
Question 7
A country's GDP is ₦1,000,000,000. Its imports are ₦200,000,000 and its exports are ₦300,000,000. What is its balance of trade?
A. ₦100,000,000 surplus
B. ₦100,000,000 deficit
C. ₦0 surplus
D. ₦0 deficit
Question 8
A country's GDP is ₦2,000,000,000. Its imports are ₦400,000,000 and its exports are ₦500,000,000. What is its balance of trade?
A. ₦100,000,000 surplus
B. ₦100,000,000 deficit
C. ₦0 surplus
D. ₦0 deficit
Question 9
A country's GDP is calculated as the sum of the value of all final goods and services produced within its borders. However, the country also imports goods worth ₦100 billion. What is the effect on the country's GDP?
A. The country's GDP increases by ₦100 billion
B. The country's GDP decreases by ₦100 billion
C. The country's GDP remains the same
D. The country's GDP increases by ₦200 billion
Question 10
A country's GDP is ₦1,500,000,000. Its imports are ₦300,000,000 and its exports are ₦400,000,000. What is its balance of trade?
A. ₦100,000,000 surplus
B. ₦100,000,000 deficit
C. ₦0 surplus
D. ₦0 deficit
Question 11
A country's government imposes a tax on a particular good, cau\sing the supply curve to shift to the left. What is the effect on the equilibrium price and quantity of the good?
A. Price increases, quantity decreases
B. Price decreases, quantity increases
C. Price increases, quantity increases
D. Price decreases, quantity decreases
Question 12
A firm has a production function Q = 2L^0.5K^0.5. If the price of labor is ₦100 per unit and the price of capital is ₦200 per unit, find the profit-maximizing values of L and K.
A. L = 10, K = 20
B. L = 20, K = 10
C. L = 5, K = 5
D. L = 15, K = 15
Question 13
A consumer has a utility function U(x, y) = 2x + 3y. The prices of x and y are ₦5 and ₦10 respectively. Find the consumer's indifference curve.
A. U(x, y) = 20
B. U(x, y) = 30
C. U(x, y) = 40
D. U(x, y) = 50
Question 14
A country's government imposes a tax on a particular good, cau\sing the supply curve to shift to the left. What is the effect on the equilibrium price and quantity of the good?
A. Price increases, quantity decreases
B. Price decreases, quantity increases
C. Price increases, quantity increases
D. Price decreases, quantity decreases
Question 15
Consider a country that experiences an increase in the money supply from ₦100 billion to ₦120 billion. If the velocity of money is 2, find the new price level.
A. ₦120
B. ₦140
C. ₦160
D. ₦180

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