Econ 528 - Study guides, Class notes & Summaries

Economies of scale correct answers If, when a firm double all its inputs, its average cost of production decreases, then production displays A - diminishing returns B - economies of scale C - diseconomies of scale D - declining fixed costs The lowest average cost of producing every level of output in the long run correct answers The long-run average cost curve shows A - the lowest average cost of producing every level of output in the long run B - where the most profitable level of ...

Managerial economics is best defined as the economic study of: correct answers how businesses can decide on the best use of scarce resources. Managerial economics: correct answers helps managers make decisions in the face of scarcity. Microeconomics includes the study of the; correct answers b. choices made by individuals and businesses. The form of economics most relevant to managerial decision-making within the firm is: correct answers b. microeconomics CEOs should focus on correct...

ECON 528 Exam With Complete Solutions 2024

ECON 528 Final Exam Review Questions And Answers 2024

A firm's managers are constrained by A) consumers. B) workers. C) government. D) All of the above. correct answers D.) All of the above 2) Which of the following would be categorized as an opportunity cost? a. not being able to spend your $10,000 savings if you sink the money in your business b. the cost of purchasing supplies for your house-cleaning business c. the cost of purchasing auto insurance for your dry-cleaning delivery business A) a only B) a and c only C) b and c on...

Elvira decreased her consumption of bananas when the price of peanut butter increased. For Elvira, peanut butter and bananas are A) substitutes in consumption. B) both inferior goods. C) complements in consumption. D) both luxury goods. correct answers c A change in which variable will change the market demand for a product? A) the price of the product B) population C) technology D) the prices of substitutes in production correct answers b Suppose the value of the price elasticity ...

If the price of steel increases drastically, the quantity of steel demanded by the building industry will fall significantly over the long run because Select one: a. buyers of steel are less sensitive to a price change if they have more time to adjust to the price change. b. buyers of steel are more sensitive to a price change if they have more time to adjust to the price change. c. sales revenue in the building industry will fall sharply. d. profits will fall by a greater amount in the lon...

_________ is the cost associated with fixed input correct answers Fixed cost Fixed costs are unrelated to _________. correct answers output Fixed costs are zero in the __________. correct answers long run __________ is the cost that does not vary across decision correct answers Sunk cost _____________ is the time period in which the availability of at least one input is fixed or the quantity of at least one input cannot be changed. correct answers Short-run ____________ is the tim...

Managerial Economics correct answers Helps managers make decisions in the face of scarcity. Economic Costs of Production vs. Accounting Costs correct answers Economic costs add the opportunity costs of a firm using its own resources while accounting costs do not. Margie's Profit Maximization correct answers This cannot be determined without knowing Margie's total or marginal production costs. Short-Run Shutdown Point correct answers Identify the short-run shut down point for the firm:...

ECON 528 Midterm Exam Questions And Answers 2024