ECON-102-Fall-2012-Exam-3-Version_A_and_C

A 41 b 9 c 24 d none of the other

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: on the equipment loan is LARGER than the interest rate he can earn on the savings account. John’s accounting profit _____ and his economic profit _______. a. Stays the same, stays the same. b. Rises, rises. c. Stays the same, rises. d. Rises, stays the same. 3 ECON 102 NAME: _______________________ FALL 2012 EXAM- 3 VERSION A USE THIS INFORMATION TO ANSWER THE NEXT 4 QUESTIONS You work as a tutor on campus. Assume you work on a competitive market and your production function is given in the table below, and you also have the following operating costs: 1) Salary you could make bartending = $15/hr 2) Internet connection = $50/week # of hours 0 1 2 3 4 # of clients 0 4 7 9 10 10. If you work 1 hour a week and charge $6/hr for your services, then you make ________ of economic profits with the first hour of tutoring. a. $- 41 b. $- 9 c. $24 d. None of the other choices is correct 11. How many hours of tutoring you should work each week? a. 0 b. 1 c. 2 d. 3 e. 4 12. If the costs of your internet connection was $100 (instead of $50), would you have to change the answer you provided in the previous question? a. yes b. no c. maybe 13. Say you own a business that sells t- shi...
View Full Document

This note was uploaded on 01/27/2014 for the course ECON 102 taught by Professor Kim during the Fall '08 term at University of Illinois, Urbana Champaign.

Ask a homework question - tutors are online