B.COM ECO-1 MCQ's




Question 271 :
Break-even analysis is used to determine how much quantity of its product it must sale to :

  1. Make profit
  2. Break-even
  3. Maximise profit
  4. None of the above
  

Question 272 :
The total revenue curve starts from the origin.

  1. TRUE
  2. FALSE
  

Question 273 :
_____ refers to the integration of economic theory with business practice.

  1. Business economics
  2. Managerial economics
  3. business planning
  4. None of these
  

Question 274 :
At break-even point, the company makes loss.

  1. TRUE
  2. FALSE
  

Question 275 :
The market demand schedule shows an _____ relationship between price and demand.

  1. direct
  2. No
  3. inverse
  4. none of these
  

Question 276 :
Break-even point of a chart indicates :

  1. Zero profit
  2. Heavy loss
  3. Large profit
  4. All of the above
  

Question 277 :
The change in total cost resulting from a particular decision of the firm is refer as _____.

  1. Opportunity cost
  2. Average cost
  3. Incremental cost
  4. Marginal cost
  

Question 278 :
The profit zone in a break-even chart shows TR = TC.

  1. TRUE
  2. FALSE
  

Question 279 :
______ economies causing downward shift of the LAC curve.

  1. External
  2. Internal
  3. None of these
  

Question 280 :
Economies and diseconomies of large scale play a significant role in determining the shape of the ______.

  1. K. J. Arrow
  2. LAC curve
  3. None of these
  

Question 281 :
_____ cover topics such as cost concepts, methods of estimating costs etc.

  1. Production analysis
  2. Supply analysis
  3. Cost analysis
  4. Demand analysis
  

Question 282 :
Increasing long–run average cost is attributed to :

  1. the firm’s experience of increasing returns
  2. the firm’s experience of economies of scale
  3. decreasing returns to the scale
  4. increasing average variable cost curve
  

Question 283 :
_____ 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 284 :
BEA helps in determining the optimum level of output.

  1. TRUE
  2. FALSE
  

Question 285 :
The break-even point is influenced by ______.

  1. price
  2. average variable cost
  3. fixed cost
  4. all of the above
  

Question 286 :
The rent of a factory is an example of ______

  1. variable cost
  2. fixed cost
  3. both a and b
  4. Neither a nor b
  

Question 287 :
Total cost curve starts from above the origin.

  1. TRUE
  2. FALSE
  

Question 288 :
The BEA provides an important link between business behavior in practice and economic theory.

  1. TRUE
  2. FALSE
  

Question 289 :
_____ refers to the next best alternative foregone or sacrificed.

  1. Incremental cost
  2. Marginal cost
  3. Opportunity cost
  4. Average cost
  

Question 290 :
When LAC curve intersect the LMC curve it implies :

  1. the point of increasing returns
  2. the optimum plant size
  3. the end of economies of scale
  4. none of the above
  

Question 291 :
Demand and price have _____ relationship.

  1. No
  2. inverse
  3. Direct
  4. None of these
  

Question 292 :
The BEA is useful to the Prime Minister of collusion government.

  1. TRUE
  2. FALSE
  

Question 293 :
Fixed costs refer to :

  1. Contractual payments
  2. Labour costs
  3. Out of pocket expenses
  4. Business payments
  

Question 294 :
Break-even analysis at break-even point indicates ______ profit

  1. Zero
  2. Heavy loss
  3. Large profit
  4. All of the above
  

Question 295 :
At break-even point TR > TC.

  1. TRUE
  2. FALSE
  

Question 296 :
The demand curve for a perfectly competitive firm is _____.

  1. Upward slopping
  2. downward sloping
  3. perfectly elastic
  4. Horizontal
  

Question 297 :
Net ______ causes LAC curve to rise.

  1. Diseconomies
  2. economies
  3. None of these
  

Question 298 :
Shift in the supply curve to the left will increase the _____.

  1. Market demand
  2. equilibrium price
  3. Market supply
  4. none of these
  

Question 299 :
______ economies causes LAC curve to fall.

  1. Internal
  2. external
  3. None of these
  

Question 300 :
The BEA provides an understanding of the functional relationship among cost, revenue and output rate.

  1. TRUE
  2. FALSE
  
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