To complete company setup you must complete all of the following except:
a. Add customers
b. Add payroll forms
c. Add products and services as items
d. Add vendors
b. Add payroll forms
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Suppose a firm finds it is better off operating than shutting down in the short run. What is true at the quantity at which marginal cost equals marginal revenue?
a. total cost equals total revenue b. average cost equals average revenue c. profit is maximized d. revenue is maximized e. cost is minimized
If the price elasticity of demand is equal to zero and the price was to rise, the quantity demanded would:
A. decrease slightly. B. fall to zero. C. not change. D. increase.
When the marginal cost of a price-taking firm is less than the market price of its product, the firm should:
a. expand output (provided that price is not less than average variable cost). b. reduce output (provided that price is not less than average variable cost). c. maintain output (provided that price is not less than average variable cost). d. charge more than the market price.
One of the practical issues in the choice of government spending or taxes to change aggregate demand is how large a
a. change in demand we want. b. trade deficit we want. c. budget deficit we want. d. government sector we want.