BCOM ECO-1 MCQ's




Question 61 :
A case of decrease in supply, demand remaining unchanged, the equilibrium price _____.

  1. falls
  2. rises
  3. constant
  4. None of these
  

Question 62 :
Cost analysis is narrower in scope than production analysis.

  1. TRUE
  2. FALSE
  

Question 63 :
AVC curve is a ‘U’ shape curve.

  1. TRUE
  2. FALSE
  

Question 64 :
In case of inferior goods income elasticity of demand is positive.

  1. TRUE
  2. FALSE
  

Question 65 :
_____ explains the dependence of one variable on the other variable.

  1. Functional relation
  2. Equations
  3. Both (a) and (b)
  4. None of these
  

Question 66 :
A positive cross-price elasticity coefficient implies that :

  1. Two products are substitutes
  2. Two products are jointly demanded
  3. Two products are complementary
  4. Two products have no relations
  

Question 67 :
When managerial costs per unit declines it is the case of ______.

  1. Managerial economy
  2. none of there
  

Question 68 :
A vertical demand curve implies zero price elasticity.

  1. TRUE
  2. FALSE
  

Question 69 :
Measurement of demand elasticity enables the manager to :

  1. Know the magnitude of demand
  2. Characterised the nature of demand for the product
  3. Consider both (a) and (b)
  4. Consider (b) and (c)
  

Question 70 :
Trend refers to :

  1. Short-term variations
  2. Long-term movement of data
  3. Perfection
  4. Regression
  

Question 71 :
Using superior technology leads to external economy of scale.

  1. TRUE
  2. FALSE
  

Question 72 :
Opportunity cost require ascertainment of sacrifices.

  1. TRUE
  2. FALSE
  

Question 73 :
Regression method is prescriptive as well as descriptive.

  1. TRUE
  2. FALSE
  

Question 74 :
With decrease in demand, supply remaining unchanged, the equilibrium price falls.

  1. TRUE
  2. FALSE
  

Question 75 :
Demand forecasting is important for the firms.

  1. TRUE
  2. FALSE
  

Question 76 :
Y-axis.

  1. TRUE
  2. FALSE
  

Question 77 :
Production function defines the master servant relationship.

  1. TRUE
  2. FALSE
  

Question 78 :
In a homogeneous oligopoly the firm try to differentiate their products from the other competitors.

  1. TRUE
  2. FALSE
  

Question 79 :
Learning curve indicate increase in cost of production to the decrease in output.

  1. TRUE
  2. FALSE
  

Question 80 :
At break-even point, the company makes loss.

  1. TRUE
  2. FALSE
  

Question 81 :
_____ refers to the total demand for a commodity by all buyer in the market.

  1. Individual supply
  2. market supply
  3. Market demand
  4. Individual demand
  

Question 82 :
______ economies causes LAC curve to fall.

  1. Internal
  2. external
  3. None of these
  

Question 83 :
Break-even analysis is also referred to as ______.

  1. Cost-volume-profit analysis
  2. None of the above
  

Question 84 :
TPL falls when MPL falls.

  1. TRUE
  2. FALSE
  

Question 85 :
With an increase in supply, demand remaining unchanged, the equilibrium price _____.

  1. raised
  2. falls
  3. constant
  4. none of these
  

Question 86 :
The Break-even analysis is meant to put a break on the production.

  1. TRUE
  2. FALSE
  

Question 87 :
If elasticity of demand is infinite, marginal revenue will be increase.

  1. TRUE
  2. FALSE
  

Question 88 :
If cross elasticity of demand is positive, goods are ______.

  1. Complementary
  2. Substitutes
  3. not related
  4. None of these
  

Question 89 :
The break-even-chart graphically shows cost and revenue relation.

  1. TRUE
  2. FALSE
  

Question 90 :
Under oligopoly the firm faces a _____ demand curve.

  1. horizontal
  2. vertical
  3. upward sloping
  4. Kinked (Indeterminate)
  
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