| 1 |
The sacrifice of an alternative use of resources to produce something is called its |
- A. real cost
- B. opportunity cost
- C. sacrifice cost
- D. alternative cost
|
| 2 |
Which on of the following represents fixed cost: |
- A. Price of raw material
- B. Wages
- C. Interests on loan
- D. Rent of land
|
| 3 |
TC |
- A. rises continuously
- B. falls then rises
- C. is horizontal to x-axis
- D. is parallel to y-axis
|
| 4 |
Which is NOT a cause of shift in cost curves of a frim |
- A. excise tax
- B. prices of inputs
- C. increase in productivity
- D. price of product
|
| 5 |
When AC curve rises, MC curve remains: |
- A. Above AC
- B. Below AC
- C. Equal AC
- D. Negative
|
| 6 |
The shape of rectangular hyperbola is made by |
- A. MC
- B. AFC
- C. AVC
- D. TFC
|
| 7 |
Long rum is a period |
- A. three years or longer
- B. long enough to allow firms to change plant size and capacity
- C. in which a firm need not get loans
- D. which affects larger more than smaller firms
|
| 8 |
Pollution which is side effect of producing or consuming something and which is not taken into account by producers and sellers is called |
- A. externality
- B. wastage
- C. extra cost
- D. opportunity cost
|
| 9 |
Unit cost is another name for |
- A. MC
- B. AVC
- C. ATC
- D. AFC
|
| 10 |
One of the following does not represent imperfect competition. |
- A. Day to day market
- B. Monopoly
- C. Duopoly
- D. Monopolistic Competition
|
