When a pharmaceutical company introduces a new drug, its research and development costs are ________, and the cost of the chemicals used in manufacturing the drug are ________.
A. start-up costs; variable costs
B. marginal costs; variable costs
C. start-up costs; fixed costs
D. fixed costs; start-up costs
Answer: A
You might also like to view...
A monopolistically competitive firm earning profits in the short run will find the demand for its product decreasing and becoming more elastic in the long run as new firms move into the industry until
A) the original firm is driven into bankruptcy. B) the firm's demand curve is perfectly elastic. C) the firm exits the market. D) the firm's demand curve is tangent to its average total cost curve.
In the bond market, the buyer is considered to be
A) the lender. B) the borrower. C) the lender or the borrower, depending upon the use to which the funds are put. D) the lender or the borrower, depending upon whether interest rates are rising or falling.
When the Federal Open Market Committee buys government securities:
a. the reserve requirement of banks decrease. b. the reserve deposits of banks decrease. c. the excess reserves of banks increase. d. the federal funds rate increases. e. the legal reserves of banks decrease.
If Sally Smith creates VCU1 by playing an online game, the effect is to cause the nation's:
a. Monetary base to fall. b. M2 money supply to fall. c. M2 money multiplier to remain the same. d. M2 money multiplier to fall.