WGU C211 Economics Exam Study Guide and
Quizzes with Complete Solution | 100% Correct |
2026 Update
Save
Terms in this set (240)
Economic costs Explicit + Implicit Costs
Explicit Costs Monetary payments, material costs, wages,
interest
Implicit costs Income you would have earned; value of the next
best use; depreciation and forgone interest
Accounting profit Total revenue - explicit costs
Economic profit TR - economic costs
Economic profit TR - opportunity costs
, Economic profit TR - explicit costs - implicit costs
The short run Firms can vary their output by changing
resources used
The long run Firms can enter and exit
Total costs Fixed cost + variable costs
Average fixed cost TFC/Q
Average variable cost TVC/Q
Average total cost TC/Q or TFC/Q+TVC/Q
Marginal cost change in TC/Q
ATC Curve U shaped
Diseconomies of Scale Large firms often have problems of
communication and cooperation
Economies of Scale Labor specialization, managerial specialization,
efficient capital
Zero economic profit Positive accounting profit
Quizzes with Complete Solution | 100% Correct |
2026 Update
Save
Terms in this set (240)
Economic costs Explicit + Implicit Costs
Explicit Costs Monetary payments, material costs, wages,
interest
Implicit costs Income you would have earned; value of the next
best use; depreciation and forgone interest
Accounting profit Total revenue - explicit costs
Economic profit TR - economic costs
Economic profit TR - opportunity costs
, Economic profit TR - explicit costs - implicit costs
The short run Firms can vary their output by changing
resources used
The long run Firms can enter and exit
Total costs Fixed cost + variable costs
Average fixed cost TFC/Q
Average variable cost TVC/Q
Average total cost TC/Q or TFC/Q+TVC/Q
Marginal cost change in TC/Q
ATC Curve U shaped
Diseconomies of Scale Large firms often have problems of
communication and cooperation
Economies of Scale Labor specialization, managerial specialization,
efficient capital
Zero economic profit Positive accounting profit
