The short-run break-even price is the point at which
A) price is less than marginal cost.
B) marginal cost, average total cost and marginal revenue are all equal.
C) average variable cost is at a minimum.
D) marginal cost, price and average variable cost are all equal.
Answer: B
You might also like to view...
If Sam wants to increase her total revenue from her sales of flowers and she knows that the demand for flowers is price inelastic, she should
A) lower her price to increase the demand and shift the demand curve rightward. B) raise her price because she knows that the quantity demanded will also increase. C) raise her price because she knows that the percentage decrease in the quantity demanded will be smaller than the percentage increase in price. D) lower her price because she knows that the percentage increase in the quantity demanded will be greater than the percentage decrease in price.
If the interest rate is 7 percent on euro-denominated assets and 5 percent on dollar-denominated assets, and if the dollar is expected to appreciate at a 4 percent rate, the expected return on ________-denominated assets in terms of ________ percent
A) dollar; euros is 3 B) euro; dollars is 1 C) dollar; euros is 9 D) euro; dollars is 11
The oversimplified money multiplier formula, when the required reserve ratio is m, is
a. change in money supply = change in reserves × m. b. change in money supply = (1/m) /change in reserves. c. change in money supply = (1/m) × change in reserves. d. change in money supply = m/change in reserves.
The fungibility of money means that
A. thinking large, one-time expenses should be paid off over a period of time, while everyday expenses should come out of your checking account, is irrational. B. people often create false distinctions between categories of debt. C. the categories people create to organize their expenditures are meaningless in financial terms. D. All of these statements are true.