A firm's fixed costs are $10 million. It sets the price at $1800 per unit and has marginal costs of $1,000. What's the firm's contribution margin per unit?
a. $12
b. $10
c. $8
d. $4
Answer: d. $4
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The rule of 70 which predicts the time required for the economy of a nation to double, is based on the mechanism of: a. compound interest
b. capital formation. c. labor force productivity. d. capital investments.
When the Consumer Price Index increases from 100 to 120
a. more money is needed to buy the same amount of goods, so the value of money falls. b. more money is needed to buy the same amount of goods, so the value of money rises. c. less money is needed to buy the same amount of goods, so the value of money falls. d. less money is needed to buy the same amount of goods, so the value of money rises.
The monopolistic competitor is ___________ efficient than the perfect competitor.
Fill in the blank(s) with the appropriate word(s).
Refer to the diagrams, in which figures (a) and (b) show demand curves reflecting the prices Alvin and Elmer are willing to pay for a public good, rather than do without it. If the marginal cost of the optimal quantity of this public good is $10, the optimal quantity must be
What will be an ideal response?