If total costs are $18,000 for the year, and the firm has fixed costs of $12,000, what is the level of the firm's variable costs?
What will be an ideal response?
Since total cost is equal to fixed cost plus variable cost, variable cost must be equal to $6,000.
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During this year, Barbara earned $60,000 as a financial analyst, paid taxes of $5,000 and consumed $53,000. If Barbara's wealth was $4,000 at the beginning of the year, at the end of the year Barbara's wealth was
A) $6,000. B) $60,000. C) $2,000. D) $4,000. E) $5,000.
At a short-run macroeconomic equilibrium, real GDP is always equal to potential GDP
Indicate whether the statement is true or false
Allocative efficiency means that among the points on the production possibility frontier, the point that is chosen is socially preferred. In this scenario, the measure of social benefit reflects:
a. what buyers are willing to pay for the product. b. a noneconomic benefit, such as improving people’s lives. c. lowering the cost of goods so that more people may purchase them. d. the social values of the corporation.
Assume that the exchange rate changed from (a) $2/€ to (b) $1.125/€. What are the corresponding exchange rates for the U.S. dollar?
a. (a) €2/$ and (b) €1.125/$. b. (a) €1.125/$ and (b) €2/$. c. (a) €0.50/$ and (b) €0.89/$. d. There is not enough information provided to answer this question.