1. Ordinal approach is based on
2. If the individual firm's demand curve is coincident with the market demand curve then
3. Match the following:
List-I (Items)
List-II (Applications)
a. Profit
1. Sales - (VC + FC)
b. Margin of safety
2. $$\frac{{{\text{FC}} + {\text{Profit}}}}{{{\text{Sales}} - {\text{VC}}}}$$
c. Sales in Rs.
3. $$\frac{{{\text{FC}} + {\text{Profit}}}}{{1 - \frac{{{\text{VC}}}}{{{\text{Sales}}}}}}$$
d. Contribution margin per unit
4. $$\frac{{{\text{Fixed Cost}}}}{{{\text{BEP in units}}}}$$
5. Profit + TFC
| List-I (Items) | List-II (Applications) |
| a. Profit | 1. Sales - (VC + FC) |
| b. Margin of safety | 2. $$\frac{{{\text{FC}} + {\text{Profit}}}}{{{\text{Sales}} - {\text{VC}}}}$$ |
| c. Sales in Rs. | 3. $$\frac{{{\text{FC}} + {\text{Profit}}}}{{1 - \frac{{{\text{VC}}}}{{{\text{Sales}}}}}}$$ |
| d. Contribution margin per unit | 4. $$\frac{{{\text{Fixed Cost}}}}{{{\text{BEP in units}}}}$$ |
| 5. Profit + TFC |
4. Constrained optimization techniques are not designed to deal with the problem of
5. Which statement is/are true?
6. From the following determinants of the price elasticity of demand, indicate the correct option for the determinants having a positive relationship with the degree of the price elasticity of demand.
1. Range of substitutes of the commodity
2. Extent of the different uses of the commodity
3. Portion of the income of the buyer spent on the commodity
4. Income group of buyers purchasing the commodity
1. Range of substitutes of the commodity
2. Extent of the different uses of the commodity
3. Portion of the income of the buyer spent on the commodity
4. Income group of buyers purchasing the commodity
7. The degree of price elasticity of demand used for goods is influenced by whether
1. It has close substitutes
2. Its output is easily altered
3. It accounts for a small input
4. It is a durable use or single use goods
1. It has close substitutes
2. Its output is easily altered
3. It accounts for a small input
4. It is a durable use or single use goods
8. On an indifference map, if the income consumption curve slopes downwards to the right it shows that
9. A consumer will be maximising his utility if he allocated his money income so that
10. The substitution effect works to encourage a consumer to purchase more of a product when the price of that goods is falling because
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