Econimoics Quiz info

Econimoics Quiz info - Quiz2,7,8...

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Quiz 2,7,8    Points Assigned: 2.00  – Multiple Choice —  Question: Normal profit is: Correct Your Answer : C A. determined by subtracting implicit costs from total revenue B. determined by subtracting explicit costs from total revenue. C. the return to the entrepreneur when economic profits are zero. (correct answer) D. the average profitability of an industry over the preceding 10 years. 2.  Points Assigned: 2.00  – Multiple Choice —  Question: An explicit cost is: Correct Your Answer : B A. omitted when accounting profits are calculated. B. a money payment made for resources not owned by the firm itself. (correct answer) C. an implicit cost to the resource owner who receives that payment. D. always in excess of a resource's opportunity cost. 3.  Points Assigned: 2.00  – Multiple Choice —  Question: Economic cost can best be defined as: Correct Your Answer : C A. any contractual obligation that results in a flow of money expenditures from an enterprise to resource suppliers. B. any contractual obligation to labor or material suppliers. C. compensations that must be received by resource owners to insure their continued supply. (correct answer) D. all costs exclusive of payments to fixed factors of production. 4.  Points Assigned: 2.00  – Multiple Choice —  Question: The basic characteristic of the short run is that: . Correct Your Answer : B A. barriers to entry prevent new firms from entering the industry. B. the firm does not have sufficient time to change the size of its plant. (correct answer) C. the firm does not have sufficient time to cut its rate of output to zero. D. a firm does not have sufficient time to change the amounts of any of the resources it employs. 5.  Points Assigned: 2.00  – Multiple Choice —  Question: Marginal product is:
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Correct Your Answer : A A. the increase in total output attributable to the employment of one more worker. (correct answer) B. the increase in total revenue attributable to the employment of one more worker. C. the increase in total cost attributable to the employment of one more worker.
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Econimoics Quiz info - Quiz2,7,8...

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