When capital is owned by the firm as opposed to being directly owned by household capital income may take any of the following forms except ?

Related Mcqs:

1. 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

2. 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

3. 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

4. The World Bank’s GNP per capita classification for low income middle income and high income countries respectively is ?

   A. less than $900, $900-$9000 and more than $9000
   B. less than $5000, $5000-$15000 and more than $15000
   C. less than $100, $100-$1000 and more than $1000
   D. less than $5000, $5000-$150000 and more than $150000

5. A tax for which high income taxpayers pay a smaller fraction of their income than do low income taxpayers is known as ?

   A. a proportional tax
   B. a regressive tax
   C. an equitable tax
   D. a progressive tax

6. If the income tax rate changes from 30% to 40% on income over Rs30,000 and a person’s income is Rs 31,000 then her marginal tax rate is ?

   A. 30%
   B. 10%
   C. 70%
   D. 40%

7. 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

8. 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

9. 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

10. 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