A firm produces 200 pop-up speakers at an average total cost of $27 and an average variable cost of $24. What is the firm's level of total fixed cost?
a. $3
b. $200
c. $600
d. $4,800
Ans: c. $600
You might also like to view...
In a certain economy, the components of aggregate spending are given by: C = 60 + 0.6(Y - T) - 1,000rI = 200 - 1,000rG = 200NX = 50T = 100Given the information about the economy above, what is the short-run equilibrium output if the real interest rate is 4 percent?
A. 925 B. 450 C. 1,125 D. 370
What accounted for much of policymakers' concern over U.S. current account deficits in the 1980s, 1990s, and 2000s?
A) The current account deficits were thought to be largely responsible for the federal budget deficit. B) Current account deficits lower U.S. interest rates, thereby leading to reduced domestic saving. C) Current account deficits require the United States to borrow funds from foreign savers. D) The United States had signed international agreements in which it had pledged not to run a current account deficit for more than three years in a row.
A perfect monopoly:
A. has no competition at all. B. has complete market control. C. restricts output to maximize profits. D. All of these statements are true.
Which of the following statements best describes the relationships of trade deficits, trade surpluses, international borrowing, and international lending?
a. An intimate relationship exists between a trade surplus and international borrowing and between a trade deficit and international lending. b. An intimate relationship exists between a trade deficit and international borrowing but not between a trade surplus and international lending. c. An intimate relationship exists between a trade surplus and international lending but not between a trade deficit and international borrowing, and between. d. An intimate relationship exists between a trade deficit and international borrowing and between a trade surplus and international lending.