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