According to the above figure, if the firm is earning zero economic profits, what quantity is the firm selling and at what price?
A) Q = 200; P = $4
B) Q = 1,000; P = $5
C) Q = 800; P = $4
D) Q = 1,200; P = $7
B
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The ratio of bank capital to bank assets is known as the bank's
A) leverage ratio. B) net interest margin. C) return on equity. D) return on capital.
If it costs View Your World, a high-end window manufacturer, $30 per window to install a higher quality glass in its windows and consumers will pay an additional $28 per window for the improvement, which of the following is true?
A) View Your World should not install the higher quality glass because the marginal revenue from the quality enhancement exceeds the marginal cost. B) View Your World should install the higher quality glass because the marginal revenue from the quality enhancement is less than the marginal cost. C) View Your World should install the higher quality glass because the marginal revenue from the quality enhancement exceeds the marginal cost. D) View Your World should not install the higher quality glass because the marginal revenue from the quality enhancement is less than the marginal cost.
For any country that allows free trade,
a. domestic quantity demanded is equal to domestic quantity supplied at the world price. b. domestic quantity demanded is greater than domestic quantity supplied at the world price. c. both producers and consumers in that country gain when domestic products are exported, but both groups lose when foreign products are imported. d. the domestic price is equal to the world price.
A _____________ person would rather have a definite lower income than take a risk which entails the same expected value
Fill in the blank(s) with the appropriate word(s).