ECO 4.4

What is the formula to calculate Average Revenue (AR)?

• AR = TR × TQ

• AR = TR ÷ TQ

• AR = TQ ÷ TR

• AR = TR – TQ

What is the formula for Marginal Revenue (MR)?

• MR = TRn – TRn-1

• MR = TRn-1 – TRn

• MR = Q ÷ TR

• MR = TR × Q

If TR from 20 units is ₹4000 and from 21 units is ₹4200, what is the Marginal Revenue (MR)?

• 2000

• 4000

• 400

• 200

If Total Cost (TC) of producing 10 units is ₹5000, what is the Average Cost (AC)?

• 50

• 5000

• 500

• 1000

Which of the following increases when a firm produces more output?

• Total Fixed Cost

• Total Variable Cost

• BOTH

• NONE

If a bakery increases cake production, which costs will definitely increase?

• FIXED COST

• VARIABLE COST

• BOTH

• NONE

If my production increase by 10% my rent will increase by

• 0%

• 1%

• 10%

• 100%

What is the formula for Total Cost (TC)?

• TSC+TFC

• TC+TV

• TFC+TVC

• TFC+TYC

What is it called when the quantity supplied changes due to a change in the price, while other factors remain constant?

• Change in supply

• Variation in supply

• Increase in supply

• Shift in demand

What does a leftward shift in the supply curve indicate?

• Increase in supply

• Expansion of supply

• Decrease in supply

• Increase in demand