ECON 528 Mid-term || QUESTIONS AND ANSWERS
100% SOLVED!!
Microeconomics studies the allocation of
A) decision makers.
B) scarce resources.
C) models.
D) unlimited resources. correct answers b
Managerial economics
A) describes how pay for managers is set.
B) ensures managers always make good decisions.
C) helps managers make decisions in the face of scarcity.
D) explains which products consumers will buy. correct answers c
Microeconomic models are used to
A) make predictions.
B) explain real-life phenomena.
C) evaluate production alternatives.
D) All of the above. correct answers d
Managerial Economics as a specialized branch of Economics
a. Provide ready-made solutions to business problems
b. Provide logic and methodology to find solutions to business problems
c. provide alternative answers to specific business problems.
d. Provide theoretical background to analyze business problem correct answers b
Managerial economics is best defined as the economic study of:
Select one:
a. how businesses can decide on the best use of scarce resources.
b. how businesses can operate at the lowest costs.
c. how businesses can sell the most products.
d. how businesses can make the most profits. correct answers a
Managerial economics:
Select one:
a. ensures managers always make good decisions.
b. helps managers make decisions in the face of scarcity.
c. explains which products consumers will buy.
d. describes how pay for managers is set. correct answers b
Microeconomics includes the study of the;
Select one:
a. choices made by individuals and businesses.
b. aggregate effects on the national economy.
c. recessions and inflation in the global economy.
d. nationwide unemployment rate.
e. reasons why the government changes interest rates. correct answers a
, The form of economics most relevant to managerial decision-making within the firm is:
Select one:
a. macroeconomics
b. free-enterprise economics
c. microeconomics
d. welfare economics correct answers c
CEOs should focus on
Select one:
a. minimizing costs.
b. getting the best pay package for the senior management team.
c. maximizing firm profits.
d. beating their competitors. correct answers c
Managerial economics generally refers to the integration of economic theory with business
Select one:
a. Management
b. Practice
c. Ethics
d. All of the above correct answers b
A managerial decision is not profitable if
Select one:
a. it increases costs more than revenue
b. it increases revenue more than costs.
c. it decreases some cost more than it increases others.
d. it increases some revenues more than it decreases others. correct answers a
According to the profit-maximization goal, the firm should attempt to maximize short-run
profits since there is too much uncertainty associated with long-run profits.
Select one:
a. True
b. False correct answers b
True or False: Economic costs include implicit costs but not explicit costs. correct answers
false
Which of the following is a factor of production that generally is fixed in the short run?
A) raw materials
B) labor
C) a factory building
D) water correct answers c
Which of the following is an example of a long run adjustment?
A) Your university offers Saturday morning classes next fall.
B) Ford Motor Company lays off 2,000 assembly line workers.
C) A soybean farmer turns on the irrigation system after a month long dry spell.
D) Wal-Mart builds another Supercenter. correct answers d
100% SOLVED!!
Microeconomics studies the allocation of
A) decision makers.
B) scarce resources.
C) models.
D) unlimited resources. correct answers b
Managerial economics
A) describes how pay for managers is set.
B) ensures managers always make good decisions.
C) helps managers make decisions in the face of scarcity.
D) explains which products consumers will buy. correct answers c
Microeconomic models are used to
A) make predictions.
B) explain real-life phenomena.
C) evaluate production alternatives.
D) All of the above. correct answers d
Managerial Economics as a specialized branch of Economics
a. Provide ready-made solutions to business problems
b. Provide logic and methodology to find solutions to business problems
c. provide alternative answers to specific business problems.
d. Provide theoretical background to analyze business problem correct answers b
Managerial economics is best defined as the economic study of:
Select one:
a. how businesses can decide on the best use of scarce resources.
b. how businesses can operate at the lowest costs.
c. how businesses can sell the most products.
d. how businesses can make the most profits. correct answers a
Managerial economics:
Select one:
a. ensures managers always make good decisions.
b. helps managers make decisions in the face of scarcity.
c. explains which products consumers will buy.
d. describes how pay for managers is set. correct answers b
Microeconomics includes the study of the;
Select one:
a. choices made by individuals and businesses.
b. aggregate effects on the national economy.
c. recessions and inflation in the global economy.
d. nationwide unemployment rate.
e. reasons why the government changes interest rates. correct answers a
, The form of economics most relevant to managerial decision-making within the firm is:
Select one:
a. macroeconomics
b. free-enterprise economics
c. microeconomics
d. welfare economics correct answers c
CEOs should focus on
Select one:
a. minimizing costs.
b. getting the best pay package for the senior management team.
c. maximizing firm profits.
d. beating their competitors. correct answers c
Managerial economics generally refers to the integration of economic theory with business
Select one:
a. Management
b. Practice
c. Ethics
d. All of the above correct answers b
A managerial decision is not profitable if
Select one:
a. it increases costs more than revenue
b. it increases revenue more than costs.
c. it decreases some cost more than it increases others.
d. it increases some revenues more than it decreases others. correct answers a
According to the profit-maximization goal, the firm should attempt to maximize short-run
profits since there is too much uncertainty associated with long-run profits.
Select one:
a. True
b. False correct answers b
True or False: Economic costs include implicit costs but not explicit costs. correct answers
false
Which of the following is a factor of production that generally is fixed in the short run?
A) raw materials
B) labor
C) a factory building
D) water correct answers c
Which of the following is an example of a long run adjustment?
A) Your university offers Saturday morning classes next fall.
B) Ford Motor Company lays off 2,000 assembly line workers.
C) A soybean farmer turns on the irrigation system after a month long dry spell.
D) Wal-Mart builds another Supercenter. correct answers d
