Micro Econ Ch. 9

Which of the following is most likely to be an implicit cost for Company X?

To the economist, total cost includes:

Implicit and explicit costs are different in that:

An explicit cost is:

Economic profits are calculated by subtracting:

Normal profit is:

The following is cost information for the Creamy Crisp Donut Company: Entrepreneur's potential earnings as a salaried worker = $50,000 Annual lease on building = $22,000 Annual revenue from operations = $380,000 Payments to workers = $120,000 Utilities (electricity, water, disposal) costs = $8,000 Value of entrepreneur's talent in the next best entrepreneurial activity = $80,000 Entrepreneur's forgone interest on personal funds used to finance the business = $6,000 Refer to the data. Creamy Crisp's explicit costs are:

The following is cost information for the Creamy Crisp Donut Company: Entrepreneur's potential earnings as a salaried worker = $50,000 Annual lease on building = $22,000 Annual revenue from operations = $380,000 Payments to workers = $120,000 Utilities (electricity, water, disposal) costs = $8,000 Value of entrepreneur's talent in the next best entrepreneurial activity = $80,000 Entrepreneur's forgone interest on personal funds used to finance the business = $6,000 Refer to the data. Creamy Crisp's implicit costs, including a normal profit, are:

The basic characteristic of the short run is that:

Which of the following is a short-run adjustment?

To economists, the main difference between the short run and the long run is that:

Marginal product is:

Which of the following best expresses the law of diminishing returns?

Answer the question on the basis of the following output data for a firm. Assume that the amounts of all non labor resources are fixed. Refer to the data. Diminishing marginal returns become evident with the addition of the:

Marginal product:

The law of diminishing returns describes the:

The total output of a firm will be at a maximum where:

In the diagram, the range of diminishing marginal returns is:

Fixed cost is:

Which of the following is most likely to be a fixed cost?

Which of the following is most likely to be a variable cost?

Marginal cost is the:

A natural monopoly exists when:

Dis-economies of scale arise primarily because:

If a firm increases all of its inputs by 10 percent and its output increases by 15 percent, then: