vu eco404 Final Term - Quiz No.6
vu eco404 Managerial Economics Quiz
This quiz belongs to book/course code vu eco404 Managerial Economics of vu organization. We have 9 quizzes available related to the book/course Managerial Economics. This quiz has a total of 10 multiple choice questions (MCQs) to prepare and belongs to topic Final Term. NVAEducation wants its users to help them learn in an easy way. For that purpose, you are free to prepare online MCQs and quizzes.
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Question 1: Optimal allocation of limited resources can be determined by using the tools and concepts of:
Managerial economics
Financial economics
Mathematical economics
Development economics
Question 2: Under perfect competition, profit is maximized at the point where:
Marginal Cost = Marginal Revenue
Marginal cost = Average revenue
Average cost = marginal revenue
Average cost = Average revenue
Question 3: In the Marris model, the rate of growth is financed from internal and external sources. External source of finance may include:
Issue of new bonds
Cost advantages of the firm
Profits of the firm
Loans from other firms
Question 4: If price elasticity of demand for any product is constant, the demand curve of that product will be:
Horizontal
Vertical
Rectangular hyperbola
Positively sloped
Question 5: Which of the following is the assumption of regression analysis regarding error term?
Normal distribution
Zero mean
Constant variance
All of the given options
Question 6: If marginal rate of technical substitution between two inputs is constant, it means that:
Inputs are perfect substitutes
Inputs are perfect compliments
Inputs are not sufficient
Inputs are more than sufficient
Question 7: Given the Cobb Douglas production function: Q = A La Kb There will be increasing returns to scale if:
a + b > 1
a + b < 1
a + b = 1
a + b = 0
Question 8: What will happen if there is an increase in wage rate?
Short run cost curve will shift upward
Short run cost curve will shift downward
There is movement along the short run cost curve
No change will happen in the cost curve
Question 9: Stochastic disturbance term arises in:
Identity
Behavioral equation
Simultaneous equation
Regression equation
Question 10: Average variable cost curves are usually:
L-shaped
U-shaped
Horizontal
Vertical
