Economics MCQs

A. Average revenue equals average variable cost
B. Marginal revenue equals marginal cost
C. Average revenue equals marginal cost
D. Average revenue equals average cost

A. The government
B. Shareholders
C. Employees
D. The community

A. The demand curve is the marginal cost curve
B. The average revenue equals the average cost
C. The marginal cost is the average cost curve
D. The demand curve is the marginal revenue

A. Marginal revenue in a= price b
B. Marginal revenue in a = marginal revenue b = price a = price b
C. Marginal revenue in a = marginal revenue b = marginal cost
D. Marginal revenue in a = marginal revenue b = average cost

A. No profit is being made
B. Total revenue equals total cost
C. Profits are maximised
D. Producing another unit would increase profits

A. Total cost is falling
B. Total cost is increasing at a falling rate
C. Total cost is falling at a falling rate
D. Total cost is increasing at an increasing rate

A. Marginal cost is rs20
B. Average cost rises
C. Variable cost rises by rs200
D. Average fixed cost was rs10originally

A. Reduce output
B. Increase output
C. Leave output where it is:
D. Increase costs

A. They will aim to leave the industry
B. Other firms will join the industry
C. The revenue equal total costs
D. No profit is made is accounting terms

A. Covers fixed costs
B. Covers variable costs
C. Covers total costs
D. Covers revenue