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