To maximise growth without making a loss a firm should produce the highest output where ?

Related Mcqs:

1. To maximise sales revenue a firm should produce where ?

   A. Marginal cost is zero
   B. Marginal revenue is maximised
   C. Marginal revenue is zero
   D. Marginal revenue equals marginal cost

2. Assume that firms in an oligopoly are currently colluding to set price and output to maximise total industry profit. If the oligopolists are forced to stop colluding, the price charged by the oligopolists will _________ and the total output produced will __________?

   A. decrease; decrease
   B. increase; decrease
   C. decrease; increase
   D. increase; increase

3. If the marginal revenue is less than the marginal cost then to profit maximise a firm should ?

   A. Reduce output
   B. Increase output
   C. Leave output where it is:
   D. Increase costs

4. 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

5. 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

6. The Setrite Corporation produce chairs. An economist working for the firm predicts that if people’s incomes rise next year, then the demand for our chairs will for our chairs will increase ceteris paribus The accuracy of the economist’s prediction depends on whether the chairs Setrite Produce ?

   A. have few substitutes.
   B. are normal goods
   C. have few complementary goods.
   D. have many complementary goods.

7. 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

8. In the short run a firm will produce zero output if ?

   A. price is greater than short run average total cost
   B. price is between short run average total cost and short run average variable cost
   C. price is less than short run average variable cost
   D. profit is zero

9. Economics in India Pakistan the Philippines and Mexico argue the foodgrain growth would not have kept up with population growth in the last four decades without ?

   I- improved packages of high-yielding seed varieties
   II- fertilizers, pesticides and irrigation
   III- improved transportation
   IV better extension service

   A. I and III only
   B. II and III only
   C. I, II and III only
   D. I, II, III and IV

10. In the long term a firm will produce provided the revenue covers ?

    A. Fixed costs
    B. Variable costs
    C. Total costs
    D. Revenue