ENV320 FINAL CERTIFICATION SCRIPT 2026 QUESTIONS
WITH SOLUTIONS GRADED A+
● Supply Shifter. Answer: Technology or government regulations
● Changes in Demand. Answer: Represented by a shift of the demand curve
● Total Revenue when Elastic. Answer: Can be increased by decreasing the price
● Marginal Net Benefits. Answer: Marginal Benefit - Marginal Cost
● When Demand is Elastic. Answer: Total Revenue rises when the price increases
● Accounting Profit. Answer: Revenue - Expenses
● Income Elasticity. Answer: When less than zero, X is a normal good
● Price Ceiling. Answer: This is below equilibrium price
● Law of Demand. Answer: Quantity of a good consumers are willing and able to purchase
increases as the price falls
● Excise Tax. Answer: Tax on each unit of output sold. Tax revenue is collected by the
supplier
● Changes in Quantity Supplied. Answer: Represented by a movement along the supply
curve
● Economic Profit. Answer: Difference between total revenue and opportunity cost.
● Willingness to Pay. Answer: Buyer will buy a good if they're WTP > Price of Good
● Managerial Control Variable. Answer: Represented as Q
● Market Supply Curve. Answer: Indicates the total quantity of a good that all producers
would produce at each price, holding input prices, technology, and other variables affecting
supply constant.
● Implicit Costs. Answer: Input costs that do not require money
WITH SOLUTIONS GRADED A+
● Supply Shifter. Answer: Technology or government regulations
● Changes in Demand. Answer: Represented by a shift of the demand curve
● Total Revenue when Elastic. Answer: Can be increased by decreasing the price
● Marginal Net Benefits. Answer: Marginal Benefit - Marginal Cost
● When Demand is Elastic. Answer: Total Revenue rises when the price increases
● Accounting Profit. Answer: Revenue - Expenses
● Income Elasticity. Answer: When less than zero, X is a normal good
● Price Ceiling. Answer: This is below equilibrium price
● Law of Demand. Answer: Quantity of a good consumers are willing and able to purchase
increases as the price falls
● Excise Tax. Answer: Tax on each unit of output sold. Tax revenue is collected by the
supplier
● Changes in Quantity Supplied. Answer: Represented by a movement along the supply
curve
● Economic Profit. Answer: Difference between total revenue and opportunity cost.
● Willingness to Pay. Answer: Buyer will buy a good if they're WTP > Price of Good
● Managerial Control Variable. Answer: Represented as Q
● Market Supply Curve. Answer: Indicates the total quantity of a good that all producers
would produce at each price, holding input prices, technology, and other variables affecting
supply constant.
● Implicit Costs. Answer: Input costs that do not require money
