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Quiz 05
Instructions
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For each of the 12 units of the course, you are required to take a quiz. The quizzes serve multiple purposes:
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Instructions:
Should you encounter any problems in completing a quiz, please write and inform your instructor as soon as possible.
Attempt History
|
Attempt |
Time |
Score |
|
|
LATEST |
11 minutes |
10 out of 10 |
Score for this attempt: 10 out of 10
Submitted Feb 24 at 5:25am
This attempt took 11 minutes.
1 / 1 pts
Economic profit
is the same as accounting profit.
is always larger than accounting profit.
is equal to total revenue less explicit costs
is never larger than accounting profit
1 / 1 pts
Dexter is an accountant earning $45,000 per year but he hates his job. Dexter decides to leave his accounting job and start his own white water rafting guided tour business. He needs $80,000 to start his business. Dexter has $40,000 in savings that he will use to start his new business and he borrows the remaining $40,000 from a bank. The interest rate is 3%. The explicit cost of opening Dexter’s white water rafting business is ____ and the implicit cost of opening the new business is ______.
$80,000; $45,000
$2,400; $45,000
$1,200; $46,200
$127,400; $0
1 / 1 pts
|
Labor |
Output |
Variable |
Fixed |
Total |
|
0 |
0 |
|
|
12 |
|
1 |
10 |
5 |
|
|
|
2 |
18 |
|
|
22 |
|
3 |
24 |
15 |
|
|
|
4 |
28 |
20 |
|
32 |
Consider the table above. What is the marginal product of the second worker?
5
8
10
18
1 / 1 pts
|
Labor |
Output |
|
0 |
0 |
|
1 |
8 |
|
2 |
14 |
|
3 |
18 |
|
4 |
20 |
Consider the table above. What is the Marginal product of the 3rd worker?
2
4
18
20
1 / 1 pts
The production function shows the relationship between
a firm’s profit and the quantity of output produced.
the average product of labor and the quantity of labor used in the production process.
the cost of production and the quantity of output produced.
the inputs to production and the quantity of output produced.
1 / 1 pts
Consider the graph above. The slope of the production function reflects
increasing marginal product
decreasing average product
increasing marginal cost
decreasing marginal cost.
1 / 1 pts
Which of the costs below do not vary when a firm changes its level of production?
fixed cost
average fixed cost
average total cost
Total cost
1 / 1 pts
Marginal cost will eventually rise as production expands due to
increased specialization
economies of scale
diminishing marginal product
the presence of fixed costs
1 / 1 pts
|
Output |
Variable |
Fixed |
Total |
|
0 |
|
|
14 |
|
1 |
5 |
|
|
|
2 |
|
|
24 |
|
3 |
15 |
|
|
|
4 |
20 |
|
34 |
The marginal cost of producing the 3rd unit of output is
$10
$15
$24
$5
1 / 1 pts
Diseconomies of scale occur
when long run ATC is constant as output is varied.
when long run ATC decreases as output expands.
when short run ATC decreases as output expands.
when long run ATC increases as output expands.
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