If the implicit costs shown for the firm in the Accounting Profits versus Economic Profits table doubled, the firm’s accounting profits would ______.
a. not be affected
b. decline by an amount equal to the change
c. increase by an amount equal to the change
d. decline to match the firm’s economic profits.
a. not be affected
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The most profitable price for a monopolist is
A) the price at which demand is unit elastic. B) a price that maximizes the quantity sold. C) the highest price a consumer is willing to pay for the monopolist's product. D) the price for which marginal revenue equals marginal cost.
If the current account is in surplus and the capital account is zero, then
A) net exports must be positive. B) the balance of payments must be in surplus. C) the financial account must be in deficit. D) there is a capital inflow.
Refer to the accompanying figure. At a price of $3, there will be:
A. an excess supply of 2 units. B. an excess supply of 7 units. C. an excess demand of 7 units. D. an excess demand of 5 units.
The Sunshine Corporation finds its costs are $40 when it produces no output. Its total variable costs (TVC) change with output as shown in the accompanying table. Use this information to answer the following question.OutputTVC1$302503654855110Refer to the above information. The total cost of producing 3 units of output is:
A. $185. B. $105. C. $65. D. $145.