Economics MCQ Questions and Solutions with Explanations | Commerce

A. earn net revenue on sale of all goods including those involving no cost of production

B. earn net revenue on sale of goods in short run as well as long run

C. charge different prices for the same product from the different categories of buyers

D. produce below economic capacity level when he exhibits satisfaction with normal profit only

A. The consumer reaches a less preferred combination of goods

B. The consumer reaches a more affordable combination of goods

C. The consumer reaches a more preferred combination of goods

D. None of the above

A. zero

B. greater than one

C. equal to one

D. less than one

A. Only 3

B. Both 2 and 3

C. Both 1 and 2

D. All of the above

A. A vertical line

B. A lying line

C. Climbing upwards

D. There is a line falling down

A. Rotate outward, and its slope will change

B. Shift inward, and its slope will not change

C. Shift outward, and its slope will not change

D. Rotate inward, and its slope will change

A. Pure profit is the return in excess of the opportunity cost

B. Accounting profit is the excess of total revenue over and above the explicit and implicit costs

C. Profit maximisation is the sole objective of the modern firms

D. Profit is maximum when the difference between marginal revenue and marginal cost is maximum

A. Balance development of agriculture and industrial sector

B. Combined development of rural and urban area

C. Equal division of wealth between rural and urban poors

D. Co-existence of private and public sector

A. on the falling portion of AC curve

B. on the rising portion of AC curve

C. at any point on the AC curve

D. at the minimum point of the AC curve

A. $$MR{S_{xy}} = \frac{{ - \Delta y}}{{\Delta x}}$$

B. $$MR{S_{xy}} = \frac{{\Delta x}}{{\Delta y}}$$

C. $$MR{S_{xy}} = \frac{{\Delta y}}{{\Delta x}}$$

D. $$MR{S_{xy}} = \frac{{ - \Delta x}}{{\Delta y}}$$