A restaurant hires cooks and waiters. Cooks earn $10 an hour; waiters earn $5 an hour. The manager, who wants to maximize the number of meals served given a fixed payroll of $45 per hour, expects the following from cooks and waiters: 
Given the above information, at the optimal choice, the last dollar spent on hiring waiters yielded
A. 16 additional meals.
B. 6 additional meals.
C. 60 additional meals.
D. 80 additional meals.
E. none of the above
Answer: B
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In the above figure, if the price is $12 per unit, how many units will a profit maximizing perfectly competitive firm produce?
A) 0 B) 20 C) 30 D) 35
What's the opportunity cost of taking an unfair advantage in a deal?
A. Probably nothing, if the transaction is only taking place once. B. Building a reputation for being untrustworthy if the deal is likely to be repeated. C. Future deals may not occur or may come at a much higher cost. D. All of these statements are true.
The set of skills, knowledge, experience, and talent that determine the productivity of workers is called:
A. human capital. B. physical capital. C. worker per capita. D. capital per worker.
Suppose you notice that the market for used bikes is dominated by lemons (low-quality bikes). In such a situation, if you are a buyer of used bikes, you are faced with:
A. a positive externality. B. perfect information. C. an adverse selection problem. D. symmetric information.