POST UTME UNILORIN 2022 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm is operating in a perfectly competitive market with a demand curve given by Q = 100 - 2P and a supply curve given by Q = 10 + 3P. U\sing the concept of consumer surplus and producer surplus, determine the total welfare of the market.
A. ₦1000
B. ₦1200
C. ₦1500
D. ₦1800
Question 2
A firm's production function is given by Q = 100 + 2L - 3K. If the firm's labor and capital inputs are 50 and 20 respectively, calculate the marginal product of labor and the marginal product of capital.
A. 2, 3
B. 3, 2
C. 4, 5
D. 5, 4
Question 3
A country's balance of payments account shows a trade deficit of ₦500 billion and a current account deficit of ₦200 billion. If the capital account surplus is ₦300 billion, calculate the overall balance of payments deficit.
A. ₦200 billion
B. ₦300 billion
C. ₦400 billion
D. ₦500 billion
Question 4
A firm's \cost function is given by C(Q) = 100 + 2Q + 0.01Q^2, where Q is the quantity produced. If the firm produces 100 units, find the total \cost of production.
A. ₦1200
B. ₦1300
C. ₦1400
D. ₦1500
Question 5
A government imposes a tax on a good, which causes the supply curve to shift to the left. What is the effect on the equilibrium price and quantity of the good?
A. The equilibrium price increases and the equilibrium quantity decreases
B. The equilibrium price decreases and the equilibrium quantity increases
C. The equilibrium price remains the same and the equilibrium quantity decreases
D. The equilibrium price remains the same and the equilibrium quantity increases
Question 6
A monopolistically competitive firm faces a demand curve that is downward sloping but has a cons\tant elasticity of -2. If the firm's marginal revenue is 100, what is its marginal \cost?
A. 50
B. 75
C. 100
D. 125
Question 7
A firm's demand function is given by Q = 100 - 2P. If the price elasticity of demand is -2, calculate the change in quantity demanded when the price increases by 10%.
A. -20%
B. -10%
C. 0%
D. 10%
Question 8
A central bank uses the money multiplier to control the money supply in an economy. If the reserve requirement is 10% and the excess reserves are ₦100 million, find the money multiplier.
A. 10
B. 20
C. 30
D. 40
Question 9
A country's GDP is given by \( 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 $60 billion, investment is $20 billion, government sp\ending is $15 billion, exports are $30 billion, and imports are $25 billion, find the country's balance of trade.
A. $5 billion surplus
B. $5 billion deficit
C. $10 billion surplus
D. $10 billion deficit
Question 10
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 is greater than the percentage change in its exchange rate. Which of the following scenarios would lead to an improvement in the balance of payments?
A. An increase in export prices and a decrease in import prices
B. A decrease in export prices and an increase in import prices
C. An increase in export prices and an increase in import prices
D. A decrease in export prices and a decrease in import prices
Question 11
The government of a country decides to implement a policy of price control to reduce inflation. However, the policy leads to a shortage of essential goods. Which of the following is a consequence of the policy?
A. Increased production of essential goods
B. Reduced demand for essential goods
C. Shortage of essential goods
D. Increased inflation
Question 12
Consider a country with a GDP of ₦10 trillion and a GNP of ₦12 trillion. If the country's population is 200 million, calculate the per capita income in naira.
A. ₦50,000
B. ₦60,000
C. ₦70,000
D. ₦80,000
Question 13
A firm operating in a perfectly competitive market produces a homogeneous product. If the firm's average total \cost (ATC) curve intersects the average revenue (AR) curve at a point where the ATC curve is downward sloping, what is the likely outcome for the firm's profit?
A. The firm will experience a loss.
B. The firm will experience a profit.
C. The firm's profit will be maximized.
D. The firm's profit will be minimized.
Question 14
A firm's revenue function is given by R(P) = 200P - 0.05P^2, where P is the price. If the firm sells 100 units, find the total revenue.
A. ₦18000
B. ₦19000
C. ₦20000
D. ₦21000
Question 15
A consumer has a utility function given by U(x, y) = 2x + 3y. If the consumer's income is 100 and the prices of x and y are 5 and 10 respectively, what is the consumer's optimal bundle?
A. x = 10, y = 5
B. x = 5, y = 10
C. x = 15, y = 0
D. x = 0, y = 15

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