Quiz 1 - Quiz 1 Quiz 1 Quiz 1 Students-this old quiz is...

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Quiz 1 document. correct. When you have finished, turn in the document directly to your GSI (not to a pile of quizzes, etc.). Turn in this entire document with the exception of the scratch page which you may use during the exam. Take your time, and good luck. Your name___________________________________________ 1) (3 points) The graph below refers to a firm that produces olive oil. Which of the following statements is TRUE? a) Fixed cost is greater than total cost when output equals zero b) Output is closest to the profit maximizing level at Q 4 c) Profit is the same at Q 1 as it is at Q 4 d) Profit is greater than zero when output equals zero e) Marginal cost is greater than marginal revenue at Q 2 2) (3 points) Suppose you’ll need $2000 to buy a laptop for the MBA program you hope to enroll in next year. If you receive an interest rate of 10% a year (interest only paid once at the end of the year), how much money do you need to put in the bank today in order to buy the laptop next year (choose the closest value)? Total Revenue Total Cost Total Revenue/Cost 0 Q 1 Q 2 Q 3 Q 4 Quantity
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This note was uploaded on 04/01/2008 for the course ECON 101 taught by Professor Gerson during the Winter '08 term at University of Michigan.

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Quiz 1 - Quiz 1 Quiz 1 Quiz 1 Students-this old quiz is...

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