ECO chp5
What is the marginal cost of the 40th pair of jeans in Table 5.2?
$11.00
In Table 5.3, marginal cost per yearbook, between 100 and 200 yearbooks is equal to:
$4.
In Table 5.5, the total variable cost of the first unit is:
$9.
Which of the following are factors of production for Terry's Taco Patio?
Corn tortillas and meat
The maximum output that can be produced from a set of inputs is measured by:
The production function.
The sum of fixed cost and variable cost at any rate of output is equal to:
Total cost.
If price is greater than marginal cost but not average total cost, then:
Eventually the firm will go out of business.
The decision to build, buy, or lease a plant is known as the:
Investment decision.
Which of the following is most likely a variable cost in the short run?
Labor
Ceteris paribus, the law of diminishing returns states that beyond some point the:
Marginal physical product of a variable input declines as more of it is used.
The change in total output that results from one additional unit of input is the:
Marginal physical product.
When a firm produces a level of output on the production function:
Maximum efficiency is achieved.
Marginal cost:
May initially decline and then increases as more output is produced.
In Table 5.4, the marginal cost is at a minimum when:
Output increases from 10 units to 20 units.
Total revenue minus total cost equals:
Profit.