MBA 651 - QUIZ #6 QUESTIONS ANSWERED CORRECTLY LATEST UPDATE 2026
You are the manager of a firm that sells its product in a competitive market at a price of $60. Your
firm's cost function is C = 33 + 3Q2. The profit-maximizing output for your firm is - Answers 10
You are the manager of a firm that sells its product in a competitive market at a price of $50. Your
firm's cost function is C = 40 + 5Q2. Your firm's maximum profits are - Answers 85
You are the manager of a firm that sells its product in a competitive market at a price of $60. Your
firm's cost function is C = 50 + 3Q2. Your firm's maximum profits are - Answers 250
In the long-run, perfectly competitive firms produce a level of output such that: - Answers P = MC and
P = minimum of AC.
You are the manager of a firm that sells its product in a competitive market at a price of $60. Your
firm's cost function is C = 50 + 3Q2. The profit-maximizing output for your firm is - Answers 10
A perfectly competitive firm faces: - Answers a perfectly elastic demand function.
The marginal cost curve - Answers intersects the ATC and AVC at their minimum points.
In the short run, the marginal cost curve crosses the average total cost curve at - Answers the
minimum point of the average total cost curve.
The possibility of the endless cyclical preference is eliminated by the property of - Answers
transitivity.
By the property of "more is better" and transitivity, indifference curves - Answers do not intersect one
another.
A study has estimated the effect of changes in interest rates and consumer confidence on the demand
for money to be: lnM = 14.666 + .021 lnC - .036 lnr, where M denotes real money balances, C is an
index of consumer confidence, and r is the interest rate paid on bank deposits. Based on this study, a
5% increase in interest rates will cause the demand for money to: - Answers drop by .18%.
The short run response of quantity demanded to a change in price is usually: - Answers Less than the
long run response.
In a competitive market, the market demand is Qd = 70 - 3P and the market supply is Qs = 6P. A price
ceiling of $4 will result in - Answers A shortage of 34 units.
If an excise tax is imposed on a good, then the supply curve - Answers shifts up by the amount of the
tax.
You are the manager of a firm that sells its product in a competitive market at a price of $60. Your
firm's cost function is C = 33 + 3Q2. The profit-maximizing output for your firm is - Answers 10
You are the manager of a firm that sells its product in a competitive market at a price of $50. Your
firm's cost function is C = 40 + 5Q2. Your firm's maximum profits are - Answers 85
You are the manager of a firm that sells its product in a competitive market at a price of $60. Your
firm's cost function is C = 50 + 3Q2. Your firm's maximum profits are - Answers 250
In the long-run, perfectly competitive firms produce a level of output such that: - Answers P = MC and
P = minimum of AC.
You are the manager of a firm that sells its product in a competitive market at a price of $60. Your
firm's cost function is C = 50 + 3Q2. The profit-maximizing output for your firm is - Answers 10
A perfectly competitive firm faces: - Answers a perfectly elastic demand function.
The marginal cost curve - Answers intersects the ATC and AVC at their minimum points.
In the short run, the marginal cost curve crosses the average total cost curve at - Answers the
minimum point of the average total cost curve.
The possibility of the endless cyclical preference is eliminated by the property of - Answers
transitivity.
By the property of "more is better" and transitivity, indifference curves - Answers do not intersect one
another.
A study has estimated the effect of changes in interest rates and consumer confidence on the demand
for money to be: lnM = 14.666 + .021 lnC - .036 lnr, where M denotes real money balances, C is an
index of consumer confidence, and r is the interest rate paid on bank deposits. Based on this study, a
5% increase in interest rates will cause the demand for money to: - Answers drop by .18%.
The short run response of quantity demanded to a change in price is usually: - Answers Less than the
long run response.
In a competitive market, the market demand is Qd = 70 - 3P and the market supply is Qs = 6P. A price
ceiling of $4 will result in - Answers A shortage of 34 units.
If an excise tax is imposed on a good, then the supply curve - Answers shifts up by the amount of the
tax.
