Question # 1

Marginal cost curve always intersects average cost curve at:

The maximum point

The central point

The minimum point

The vertical point

In inflation prices:

Increase

Do not change

Decrease

Become zero

The price elasticity of demand measures the responsiveness of quantity demanded to:

Quantity demanded

Quantity supplied

Price

Output

National income does not include:

Profit

Wages

Interest

Transfer payments

"Government collects zero revenue if the tax rate is 0% and if the tax rate is 100%." Which of the following best describes this statement?

Consumption curve

Supply curve

Laffer curve

Investment curve

Rent of building is included in:

Fixed cost

Variable cost

Marginal cost

Selling cost

NAT II Management Science Economy MCQs With Answers