Average fixed costs
A. | Increase as output increases |
B. | Remain the same whatever the level of output |
C. | Diminish as output increases |
D. | Do not show any uniform pattern |
Option: C Explanation : Click on Discuss to view users comments. |
Ordinal approach is based on
A. | Utility could not be measured in ordinal numbers |
B. | Utility could not be measured in cardinal numbers |
C. | Law of maximum satisfaction |
D. | Utility can be measured |
Option: B Explanation : Click on Discuss to view users comments. |
Of the following, which one corresponds to fixed cost?
A. | Transportation charges |
B. | Payments for raw material |
C. | Labour costs |
D. | Insurance premium on property |
Option: D Explanation : Click on Discuss to view users comments. |
The marginal product curve is above the average product curve when the average product is
A. | Becomes constant |
B. | Increasing |
C. | Decreasing |
D. | None of the above |
Option: B Explanation : Click on Discuss to view users comments. |
If the individual firm's demand curve is coincident with the market demand curve then
A. | Marginal revenue is equal to average revenue |
B. | The firm is a monopolist |
C. | The firm can set any price it wants without limitation |
D. | The firm is price-taker |
Option: B Explanation : Click on Discuss to view users comments. |