| 1 | The WXY Corporation has actually fixed costs of $50. Its full variable costs (TVC) vary with output as shown in the complying with table.  | ||
| A) | $27.50 | ||
| B) | $40.00 | ||
| C) | $52.50 | ||
| D) | $210.00 | ||
| 2 | Use the following graph come answer the next question: | ||
| A) | 1 with 2 only | ||
| B) | 1 with 3 only | ||
| C) | 1 through 5 | ||
| D) | 3 with 5 only | ||
| 3 | Explicit costs and also implicit costs: | ||
| A) | are alike in the both represent possibility costs | ||
| B) | are alike in that both reflect an outlay of cash | ||
| C) | are alike in the both space deducted indigenous revenue come find accountancy profit | ||
| D) | differ in that only explicit costs are deducted from revenue to uncover economic profit | ||
| 4 | Suppose that a company incurred implicit expenses of $300,000 and explicit prices of $1,300,000 end the past year. If the for sure earned $1,400,000 in revenue, its: | ||
| A) | accounting revenues were $400,000 and its economic profits were $100,000 | ||
| B) | accounting losses were $200,000 and also its economic profits to be $100,000 | ||
| C) | accounting profits were $100,000 and its economic profits to be zero | ||
| D) | accounting earnings were $100,000 and its economic losses were $200,000 | ||
| 5 | Which among the following short-run cost curves would certainly not be affected by an increase in the wage paid to a firm"s labor? | ||
| A) | Average change cost | ||
| B) | Average resolved cost | ||
| C) | Average complete cost | ||
| D) | Marginal cost | ||
| 6 | If marginal product is positive however falling: | ||
| A) | marginal cost must also be falling | ||
| B) | average product should be falling | ||
| C) | total product is increasing at a decreasing rate | ||
| D) | total product is falling | ||
| 7 | The distinguishing feature that the short run is that: | ||
| A) | at least one input is fixed | ||
| B) | output is fixed | ||
| C) | input prices room variable | ||
| D) | technology is variable | ||
| 8 | The WXY Corporation has actually fixed expenses of $30. Its full variable costs (TVC) vary with output as shown in the adhering to table.  | ||
| A) | $30 | ||
| B) | $40 | ||
| C) | $50 | ||
| D) | $60 | ||
| 9 | Use the following average total cost data come answer the next question. The letters A, B, and also C designate three successively larger plant sizes. You are watching: Suppose that a business incurred implicit costs of See more: Holiday Inn Express &Amp; Suites Indianapolis Dtn-Conv Ctr Area Indianapolis, In In the lengthy run, the firm have to use plant size "A" for: | ||
| A) | all feasible levels the output | ||
| B) | 100 come 200 devices of output | ||
| C) | 300 come 600 devices of output | ||
| D) | 600 or much more units that output | ||
| 10 | Suppose a specific firm exhibits consistent returns to scale as it boosts its calculation over any reasonable range. If it boosts all its inputs by 10%, its: | ||
| A) | total expense will increase by less than 10% | ||
| B) | average complete cost will rise by 10% | ||
| C) | output will rise by 10% | ||
| D) | long run average cost curve will shift to the appropriate by 10% | ||