The demand function for commodity X, is QD=300-20P; where P is the price in rupees per unit and QD is the quantity demanded in units per period. Which of the following is the price level at which total revenue of a firm facing this demand function is maximized ?
| A. | 8.0 |
| B. | 7.5 |
| C. | 10.5 |
| D. | 12.5 |
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Option: B Explanation : Click on Discuss to view users comments. |
Match the production functions List - I with the return to scale List - II.
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List – I |
List – II (Return to scale) |
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(a) Q = 10 K0.5L0.4E0.15M0.1 |
(i) increasing |
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(b) Q = 12 K0.5L0.5 |
(ii) constant |
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(c) Q = 100 K + 15 L |
(iii) decreasing |
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(d) Q = 40 K0.3L0.5 |
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| A. | (ii) (ii) (i) (i) |
| B. | (i) (i) (ii) (ii) |
| C. | (ii) (i) (i) (iii) |
| D. | (i) (ii) (ii) (iii) |
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Option: D Explanation : Click on Discuss to view users comments. |
It costs a firm Rs 90 per unit to produce product A, and Rs 60 per unit to produce B individually. If the firm can produce both products together at Rs 160 per unit of product A and B, this exhibits signs of:
| A. | economies of scope |
| B. | diseconomies of scale |
| C. | diseconomies of scope |
| D. | economies of scale |
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Option: C Explanation : Click on Discuss to view users comments. |
In the context of Prisoner's dilemma, which one of the following is correct?
| A. | rational choices can lead to bad outcomes |
| B. | rational choices can lead to good outcomes |
| C. | co-operation can lead to sub - optimal results |
| D. | none of the above |
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Option: A Explanation : Click on Discuss to view users comments. |
Find the most appropriate sequence of life-cycle of price for a product, from the initial stage to the mature stage.
| A. | Target price→penetration prices→value - based price→limit price→niche price |
| B. | Penetration price→limit price→value - based price→target price→niche price |
| C. | Penetration price→target price→limit prices→value - based price→niche price |
| D. | Penetration price→niche price→target price→limit price→value - based price |
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Option: A Explanation : Click on Discuss to view users comments. |
