A) The maximum level of production an economy can achieve B) The average level of production in an economy C) The minimum level of production an economy can achieve D) The level of production that is most efficient
A) As more input is added to production, the output will increase at a decreasing rate B) As more input is added to production, the output will increase at a constant rate C) As more input is added to production, the output will increase at an increasing rate D) As more input is added to production, the output will decrease
A) The difference between total revenue and total cost B) The average level of productivity in an economy C) The total output produced by a firm or an economy D) The minimum level of productivity required for firms to stay in business
A) The difference between total revenue and total cost B) The total output multiplied by the total number of units of input C) The total output divided by the total number of units of input D) The total revenue divided by the total cost
A) The total output divided by the total number of units of input B) The total revenue divided by the total cost C) The additional output produced by adding one more unit of input D) The difference between total revenue and total cost
A) Technology is constant B) Production is efficient and maximized C) Resources are fixed in quantity and quality D) The economy is operating at full employment
A) The law of diminishing marginal returns B) The law of variable marginal returns C) The law of constant marginal returns D) The law of increasing marginal returns
A) The cost of land and capital equipment B) All of the above C) The cost of materials and labor needed for production D) The cost of marketing and advertising
A) The cost of producing one additional unit of output B) The difference between total revenue and total cost C) The cost of producing the last unit of output D) The total cost divided by the total number of units produced
A) The cost of producing the last unit of output B) The cost of producing one additional unit of output C) The difference between total revenue and total cost D) The total cost divided by the total number of units produced
A) The law of diminishing marginal returns applies to production B) Technology is constant C) The economy is operating at full employment D) Resources are fixed in quantity and quality
A) As more input is added to production, the output will increase at a decreasing rate B) As more input is added to production, the output will remain constant C) As more input is added to production, the output will increase at an increasing rate D) As more input is added to production, the output will increase at a constant rate
A) Capital B) Labor C) Land D) Money
A) The historical record of production in an economy B) The ratio of resources used in production C) The different combinations of goods an economy can produce with limited resources D) The trade-offs that occur when an economy produces two goods
A) The process of saving and investing money B) The process of creating goods and services C) The process of consuming goods and services D) The process of selling goods and services
A) The expenses incurred to produce a product or service. B) The monetary value of resources used in production. C) The amount that needs to be paid to suppliers and employees. D) The total expenses minus the revenue generated from sales.
A) The amount of money spent on advertising and marketing. B) The monetary value of resources used in production. C) The total expenses incurred to produce a product or service. D) The amount that needs to be paid to suppliers and employees.
A) Energy consumption B) Wages of production workers C) Rent for a production facility D) Raw materials
A) The cost of producing one unit of a product B) The cost of marketing and advertising C) The sum of fixed cost and variable cost D) The cost of raw materials only
A) Rent for a production facility B) Depreciation of machinery C) Salary of the production manager D) Cost of raw materials
A) The difference between total cost and variable cost B) The ratio of total fixed cost to the quantity of output C) The cost of producing one additional unit of a product D) The sum of fixed cost and variable cost
A) The sum of fixed cost and variable cost B) The difference between total cost and variable cost C) The cost of producing one additional unit of a product D) The ratio of total variable cost to the quantity of output
A) The difference between total cost and variable cost B) The ratio of total fixed cost to the quantity of output C) The sum of fixed cost and variable cost D) The cost of producing one additional unit of a product
A) MC is inversely related to AVC B) MC is always greater than AVC C) MC is always lesser than AVC D) MC and AVC are equal at all levels of output
A) Variable Cost (VC) B) Marginal Cost (MC) C) Fixed Cost (FC) D) Average Fixed Cost (AFC)
A) AVC becomes zero B) AVC decreases C) AVC remains constant D) AVC increases
A) Marginal Cost (MC) B) Variable Cost (VC) C) Average Fixed Cost (AFC) D) Total Cost (TC)
A) Total Cost (TC) B) Average Fixed Cost (ACF) C) Variable Cost (VC) D) Fixed Cost (FC)
A) Marginal Cost (MC) B) Average Fixed Cost (AFC) C) Average Variable Revenue (AVR) D) Total Cost (TC)
A) AFC = TC / VC B) AFC = VC / Output C) AFC = FC / Output D) AFC = TC / FC
A) The amount of money paid to suppliers and workers B) The cost incurred to produce goods and services C) The profit earned from a business venture D) The total amount of money earned from selling goods and services
A) Break-even B) Loss C) Investment D) Profit
A) Wages for temporary workers B) Advertising expenses C) Rent for a factory D) Raw materials
A) Electricity bills B) Depreciation on machinery C) Loan repayments D) Insurance premiums
A) Total cost minus profit B) Number of units sold multiplied by price per unit C) Total cost divided by profit D) Number of units sold divided by price per unit
A) The total revenue earned from all sales B) The revenue earned from fixed costs only C) The revenue earned from each unit sold D) The revenue earned from variable costs
A) Comparing total revenue to average revenue B) Dividing change in total revenue by change in quantity sold C) Subtracting total cost from total revenue D) Multiplying total revenue by price per unit
A) Decrease production B) Raise prices C) Maintain the current level of production D) Increase production
A) Makes a profit B) Expands its product range C) Incurs a loss D) Breaks even
A) The revenue earned from all sales of a product B) The revenue earned from a single unit of a product C) The revenue earned from fixed costs only D) The revenue earned from variable costs only
A) The number of workers employed B) The number of units produced C) The amount of profit earned D) The price of raw materials
A) Marketing and advertising campaigns B) Paying salaries to workers C) Research and development of new products D) Training programs for employees
A) Increased competition B) Rising variable costs C) Decreased consumer demand D) Higher fixed costs
A) The level that covers total costs B) The level that covers only variable costs C) The level that covers only fixed costs D) The most competitive price in the market
A) Rental income from real estate B) Fees charged by a law firm C) Sales of agricultural produce D) Interest earned from investments
A) The organization of production, distribution, and consumption of goods and services in a society B) The educational system of a country C) The political system of a country D) The physical infrastructure of a country
A) Traditional economy B) Mixed economy C) Command economy D) Market economy
A) Lack of stability B) Inequality C) Slow economic growth D) Overreliance on technology
A) Price determination by central planners B) Extensive government control over production and distribution C) Limited role of private enterprise D) Competition and consumer choice
A) Government B) International organizations C) Local communities D) Private individuals and businesses |