A business incurs the following costs per unit: Labor $125/unit; Materials $45/unit and rent $250,000/month. If the firm produces 1,000,000 units a month, the total variable costs equal
a. $125Million
b. $45Million
c. $1Million
d. $170Million
d
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A decrease in price level will
A) shift the planned expenditures curve upward. B) cause a movement up along the planned expenditures curve. C) shift the planned expenditures curve downward. D) cause a movement down along the planned expenditures curve.
By how much did the Doha round of negotiations increase the world economy per year?
a. $100 to $150 billion b. $150 to $200 billion c. $200 to $250 billion d. $165 to $385 billion
Patent laws that allow the inventor to maintain monopoly rights to an invention increase the price of the product and
a. increase the profitability of inventive activities, thereby speeding up technological developments. b. increase the profitability of inventive activities, thereby slowing down technological developments. c. decrease the profitability of inventive activities, thereby speeding up technological developments. d. decrease the profitability of inventive activities, thereby slowing down technological developments.
In the short run, a tax placed on a perfectly competitive industry should
A. always increase the price. B. increase the total amount of the good sold. C. not affect the total amount of the good sold. D. decrease the total amount of the good sold.