ECON 2102 - Exam 2 UNCC Economics 2102
Microeconomics Questions With Complete Solutions
Accounting Profit = Correct Answers TR - explicit cost
AFC = Correct Answers TFC / Q
ATC = Correct Answers TC / Q
AVC = Correct Answers TVC / Q
Average Fixed Costs (AFC) Correct Answers total fixed cost
divided by the quantity of output in a given time period
Average Total Cost (ATC) Correct Answers total cost divided
by the quantity of output in a given time period
Average Variable Cost (AVC) Correct Answers total variable
cost divided by the quantity of output in a given time period
consumer surplus Correct Answers the difference between the
maximum price one is willing to pay and the price actually paid.
cross price elasticity <0 its... Correct Answers complements
cross price elasticity >0 its... Correct Answers substitutes
Cross- Price elasticity of demand = Correct Answers %change
in quantity demanded of a good x / % change in price of good y
, cross-price elasticity of demand Correct Answers A measure
of responsiveness of quantity of one good purchased to a change
in the price of another good
interpretation of the numerical value
substitutes vs. complements
Determinants of Demand Correct Answers taste, income,
expectations, other goods
determinants of elasticity Correct Answers necessities vs.
luxuries, availability of substitutes, expenditure share (relative
price to income), time
Economic cost = Correct Answers explicit costs + implicit
costs
Economic Profit = Correct Answers TR - (explicit & implicit
costs)
Ei = Correct Answers %change in Quantity demanded / %
change in income
explicit costs Correct Answers a payment made for the use of
a resource
fixed inputs Correct Answers inputs the manager cannot adjust
in the short run
Microeconomics Questions With Complete Solutions
Accounting Profit = Correct Answers TR - explicit cost
AFC = Correct Answers TFC / Q
ATC = Correct Answers TC / Q
AVC = Correct Answers TVC / Q
Average Fixed Costs (AFC) Correct Answers total fixed cost
divided by the quantity of output in a given time period
Average Total Cost (ATC) Correct Answers total cost divided
by the quantity of output in a given time period
Average Variable Cost (AVC) Correct Answers total variable
cost divided by the quantity of output in a given time period
consumer surplus Correct Answers the difference between the
maximum price one is willing to pay and the price actually paid.
cross price elasticity <0 its... Correct Answers complements
cross price elasticity >0 its... Correct Answers substitutes
Cross- Price elasticity of demand = Correct Answers %change
in quantity demanded of a good x / % change in price of good y
, cross-price elasticity of demand Correct Answers A measure
of responsiveness of quantity of one good purchased to a change
in the price of another good
interpretation of the numerical value
substitutes vs. complements
Determinants of Demand Correct Answers taste, income,
expectations, other goods
determinants of elasticity Correct Answers necessities vs.
luxuries, availability of substitutes, expenditure share (relative
price to income), time
Economic cost = Correct Answers explicit costs + implicit
costs
Economic Profit = Correct Answers TR - (explicit & implicit
costs)
Ei = Correct Answers %change in Quantity demanded / %
change in income
explicit costs Correct Answers a payment made for the use of
a resource
fixed inputs Correct Answers inputs the manager cannot adjust
in the short run
