HMGT 3320 EXAMINATION TEST 2026
QUESTIONS WITH ANSWERS GRADED A+
◉ T/F: Technology is a way of transforming inputs into outputs:.
Answer: True
◉ A normal return on investment associated with the risk taken is called.
Answer: normal profit
◉ T/F: The total cost curve is the vertical sum of the two curves total
variable cost and total fixed cost:. Answer: True
◉ T/F: The production function gets flatter as total production
decreases. Answer: False
◉ The savings derived from producing different products
jointly/simultaneously in the same production unit is called. Answer:
economies of scope
◉ T/F: Only finished goods and services are considered to be outputs.
Answer: False
◉ Total costs divided by total output is a measure of. Answer: average
costs
, ◉ The additional production yielded by the use of one extra unit of
variable input is called. Answer: the marginal product
◉ T/F: Opportunity cost reflects the value of the next highest-value use
that must be foregone when resources are used to undertake the selected
activity. Answer: True
◉ T/F: Total fixed costs plotted on a graph is represented by an upward
sloping line. Answer: False
◉ The critical price below which the firm will shut down depends on
which costs of the firm? Answer: variable costs
◉ A change in the following factor will cause a movement along a given
supply curve. Answer: price
◉ T/F: Generally, markups (charge-to-cost ratios) for ancillary services
were found to be lower that basic room charge in hospitals. Answer:
False
◉ Members of the management triangle include. Answer:
Administrators, hospital trustees, and physicians (ALL OF THESE
ANSWERS)
QUESTIONS WITH ANSWERS GRADED A+
◉ T/F: Technology is a way of transforming inputs into outputs:.
Answer: True
◉ A normal return on investment associated with the risk taken is called.
Answer: normal profit
◉ T/F: The total cost curve is the vertical sum of the two curves total
variable cost and total fixed cost:. Answer: True
◉ T/F: The production function gets flatter as total production
decreases. Answer: False
◉ The savings derived from producing different products
jointly/simultaneously in the same production unit is called. Answer:
economies of scope
◉ T/F: Only finished goods and services are considered to be outputs.
Answer: False
◉ Total costs divided by total output is a measure of. Answer: average
costs
, ◉ The additional production yielded by the use of one extra unit of
variable input is called. Answer: the marginal product
◉ T/F: Opportunity cost reflects the value of the next highest-value use
that must be foregone when resources are used to undertake the selected
activity. Answer: True
◉ T/F: Total fixed costs plotted on a graph is represented by an upward
sloping line. Answer: False
◉ The critical price below which the firm will shut down depends on
which costs of the firm? Answer: variable costs
◉ A change in the following factor will cause a movement along a given
supply curve. Answer: price
◉ T/F: Generally, markups (charge-to-cost ratios) for ancillary services
were found to be lower that basic room charge in hospitals. Answer:
False
◉ Members of the management triangle include. Answer:
Administrators, hospital trustees, and physicians (ALL OF THESE
ANSWERS)
