A. The franchiser’s fee that a restaurant must pay to the national restaurant chain
B. The payroll taxes that are paid on employee wages.
C. The monthly rent on office space that it leased for a year
D. The interest payments made on loans.
Related Mcqs:
- A firm in perfectly competitive industry is producing 50 units, its profit-maximising quantity. Industry price is £2 and total fixed costs and total variable cost are £25 and £40 respectively. The firm’s economic profit is ?
A. £35
B. £15
C. £30
D. £60 - There is an arrangement which allows a firm to use research from another firm at no cost in exchange for executing all of its trades with the firm that provides the research. What this arrangement is called?
A. Mutual arrangement
B. Quid Pro quo
C. Bilateral arrangement
D. common interest - In the short run, the competitive firm’s supply curve is the portion of the marginal cost curve that lies above the average variable cost curve?
A. Upward-sloping portion of the average total cost curve
B. upward-sloping portion of the average variable cost curve
C. portion of the marginal cost curve that lies above the average total cost curve.
D. entire marginal cost curve.
E. portion of the marginal-cost curve that lies above the average variable cost curve - If a competitive firm is producing a level of output where marginal revenue exceeds marginal cost the firm could increase profit if it ?
A. decreased production
B. maintained production at the current level
C. temporarily shut down.
D. increased production - The short run marginal cost curve cuts the short run total cost curve and short run average variable cost curve ?
A. At their lowest points
B. When they are declining
C. When they are increasing
D. When marginal revenue is zero - If a firm were to bid to do a turnkey operation where they would choose a building site designing a cement factory to build the plant hire construction crews assemble materials and equipment to run the new factory and turn over the finished factory ready to operate to the owners the firm would be using which of the following ?
A. Core Process products selling
B. Design Products selling
C. Reciprocal spelling
D. Systems selling - A monopolistically competitive firm that is incurring a loss will produce as long as the price that the firm charges is sufficient to cover ?
A. marginal costs
B. fixed costs
C. variable costs
D. advertising costs - A firm owns long-lived property that is used by a firm in the Production of its income. What this property is called ?
A. Unmovable asset
B. Fixed property
C. Production line
D. Fixed asset - For a competitive profit-maximizing firm, the value-of-the-marginal-product curve for capital is the firm’s ?
A. supply curve of capital
B. demand curve for capital
C. production function
D. marginal cost curve - When average cost is falling marginal cost is ________ and when average cost is rising marginal cost is?
A. greater than average cost, greater than average cost
B. less than average cost, greater than average cost
C. less than average cost, less than average cost
D. greater than average cost, less than average cost
