BBA-Production Function

Which of the following is NOT a factor of production?

• Technology

• Information technology

• land

• Interest

The law of variable proportions is said to exist when

• there are only two variable factors

• there is a fixed factor and a variable factor

• all factors are variable

The law of variable proportion examines the production function

• is a long run production function

• with one fixed factor

• keeping all factors variable

• with one factor variable, while keeping the other factors fixed

The law of variable proportions is said to exist when

• there are only two variable factors

• there is a fixed factor and a variable factor

• all factors are variable

When MP is zero

• TP is maixmum

• TP starts falling

• AP becomes negative

• TP is zero

Which stage represents the range of rational production decision?

• Stage III

• Stage I

• Stage II

Law of variable proportion is the new name of the famous

• Production Function

• Law of Diminishing Returns

• Law of Demand

• Returns to Scale

________ an addition to the total production by the employment of an extra unit of a factor.

• Average Product

• Total Product

• Marginal Product

• Output

Output is the _________ variable

• Independent

• Dependent

When more units of a factor are employed for producing a commodity , the average product first ______ then _______.

• falls,rises

• rises,falls