Question 1

The short run is the time frame

Accepted Answer

A) during which the quantities of all resources are fixed. 
B) that is less than a year. 
C) during which the quantities of some resources are fixed. 
D) during which the quantities of all resources are variable. 
E) during which all costs are implicit costs. 
A) during which the quantities of all resources are fixed. 
B) that is less than a year. 
C) during which the quantities of some resources are fixed. 
D) during which the quantities of all resources are variable. 
E) during which all costs are implicit costs.

Question 2

Which of the following statements correctly describes a total product curve?

Accepted Answer

A) Points above the total produce curve are efficient. 
B) The curve shows that output always increases as labor employed increases. 
C) The curve separates attainable outputs from unattainable outputs. 
D) The curve shows minimum levels of output. 
E) The curve first falls, reaches a minimum, and then rises. 
A) Points above the total produce curve are efficient. 
B) The curve shows that output always increases as labor employed increases. 
C) The curve separates attainable outputs from unattainable outputs. 
D) The curve shows minimum levels of output. 
E) The curve first falls, reaches a minimum, and then rises.

Question 3

The cost that does not change as output changes is

Accepted Answer

A) total fixed cost. 
B) average fixed cost. 
C) total variable cost. 
D) average variable cost. 
E) marginal cost. 
A) total fixed cost. 
B) average fixed cost. 
C) total variable cost. 
D) average variable cost. 
E) marginal cost.

Question 4

$$\begin{array} { | c | c | c | c | c | } 
\hline \begin{array} { c } 
\text { Labor } \
\text { (workers) }
\end{array} & \text { Output (bikes) } & \begin{array} { c } 
\text { Total fixed } \
\text { costs (dollars) }
\end{array} & \begin{array} { c } 
\text { Total variable } \
\text { cost (dollars) }
\end{array} & \begin{array} { c } 
\text { Total cost } \
\text { (dollars) }
\end{array} \
\hline 0 & 0 & 200 & & \
\hline 1 & 20 & & 100 & \
\hline 2 & 50 & & & \
\hline 3 & 60 & & & \
\hline 4 & 64 & & & \
\hline
\end{array}$$
-The table above gives costs at Jan's Bike Shop. Unfortunately, Jan's record keeping has been spotty. Each worker is paid $100 a day. Labor costs are the only variable costs of production. What is the total cost of producing 50 bikes?

Accepted Answer

A) $100 
B) $200 
C) $300 
D) $400 
E) $500 
A) $100 
B) $200 
C) $300 
D) $400 
E) $500

Question 5

Marginal cost is equal to

Accepted Answer

A) the total cost of a firm's production. 
B) total cost minus fixed cost. 
C) a cost that is not related to the quantity produced. 
D) the change in total cost that results from a one-unit increase in output. 
E) the change in fixed cost that results from a one-unit increase in output. 
A) the total cost of a firm's production. 
B) total cost minus fixed cost. 
C) a cost that is not related to the quantity produced. 
D) the change in total cost that results from a one-unit increase in output. 
E) the change in fixed cost that results from a one-unit increase in output.

Question 6

Jill runs a factory that makes lie detectors in Little Rock, Arkansas. This month, Jill's 34 workers produced 690 machines. Suppose Jill adds one more worker and, as a result, her factory's output increases to 700. Jill's marginal product of labor from the last worker hired equals ________.

Accepted Answer

A) 10 
B) 20 
C) 690 
D) 700 
E) None of the above answers is correct. 
A) 10 
B) 20 
C) 690 
D) 700 
E) None of the above answers is correct.

The short run is the time frame

Which of the following statements correctly describes a total product curve?

The cost that does not change as output changes is

Marginal cost is equal to

Jill runs a factory that makes lie detectors in Little Rock, Arkansas. This month, Jill's 34 workers produced 690 machines. Suppose Jill adds one more worker and, as a result, her factory's output increases to 700. Jill's marginal product of labor from the last worker hired equals ________.

Getting Started

The Us and Global Economies

The Economic Problem

Demand and Supply

Elasticities of Demand and Supply

Efficiency and Fairness of Markets

Government Actions in Markets

Global Markets in Action

Externalities: Pollution, Education, and Health Care

Perfect Competition

Monopoly

Monopolistic Competition and Oligopoly

Gdp: a Measure of Total Production and Income

Jobs and Unemployment

The Cpi and the Cost of Living

Potential Gdp and Economic Growth

Money and the Monetary System

Aggregate Supply and Aggregate Demand

Fiscal Policy and Monetary Policy

Filters

Exam 10: Production and Cost

The short run is the time frame

Which of the following statements correctly describes a total product curve?

The cost that does not change as output changes is

Marginal cost is equal to

Jill runs a factory that makes lie detectors in Little Rock, Arkansas. This month, Jill's 34 workers produced 690 machines. Suppose Jill adds one more worker and, as a result, her factory's output increases to 700. Jill's marginal product of labor from the last worker hired equals ________.

Getting Started

The Us and Global Economies

The Economic Problem

Demand and Supply

Elasticities of Demand and Supply

Efficiency and Fairness of Markets

Government Actions in Markets

Global Markets in Action

Externalities: Pollution, Education, and Health Care

Perfect Competition

Monopoly

Monopolistic Competition and Oligopoly

Gdp: a Measure of Total Production and Income

Jobs and Unemployment

The Cpi and the Cost of Living

Potential Gdp and Economic Growth

Money and the Monetary System

Aggregate Supply and Aggregate Demand

Fiscal Policy and Monetary Policy

Filters