A. $160,000
B. $420,000
C. $540,000
D. $660,000
Related Mcqs:
- Suppose an oligopolist individually maximizes its profits. When calculating profits, if the output effect exceeds the price effect on the marginal unit of production, then the oligopolist ?
A. Should produce more units
B. has maximized profits.
C. is in a Nash equilibrium
D. Should produce fewer units
E. should exit the industry. - In Price discrimination abnormal profits are made if ?
A. Average revenue is greater than average variable cost
B. Average revenue is greater than average cost
C. Average revenue is greater than marginal revenue
D. Average revenue is greater than average fixed cost - A firm charging different buyers’ different prices for the same product is practicing ?
A. Competitive pricing.
B. Price discrimination
C. price discounting.
D. price fixing. - For year the U.S government levied quotas on inexpensive oil imported from the Middle East The quotas led to cost increases for U.S consumers totaling $3 billion for oil products. An apparent justification of this policy was that ?
A. U.S oil companies and workers deserved higher incomes
B. U.S oil was of superior quality and merited higher prices
C. one should not be too dependent on foreign suppliers of crucial resources
D. The U.S government needed the quota revenue to balance its budget - 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 price discrimination, which section of the market is charged the higher price ?
A. The section with the richest people
B. The section with the oldest people
C. The section with the most inelastic demand
D. The section with the most elastic demand - A company is practicing ________ if it focuses on subbasements with distinctive traits that may seek a special combination of benefits ?
A. micro marketing
B. niche marketing
C. mass marketing
D. segment marketing - When companies make marketing decisions by considering consumers wants and the long run interests of the company consumer and the general population they are practicing which of the following principle ?
A. Innovative marketing
B. Consumer-oriented marketing
C. Value marketing
D. Societal marketing - If Honda uses its company name to cover such different products as its automobile’s lawn mowers and motorcycles, it is practicing which of the following strategies ?
A. new brand strategy
B. line extension strategy
C. multiband strategy
D. brand extension strategy - 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
