This quiz works best with JavaScript enabled. Home > Economics > Managerial Economics > Managerial Economics – Quiz 18 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Managerial Economics Quiz 18 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Consider a production function of the form $Q\left(K, L\right)=K^2L^2$ What is the marginal rate of technical substitution of capital for labor at the point where K=10 and L=5? A) 5. B) 2. C) 1. D) 0.5. Show Answer Correct Answer: D) 0.5. 2. Managerial Economists should analyze the four environmental influences on a business, except ..... A) Political. B) Economic. C) Social. D) Technological. E) Psychological. Show Answer Correct Answer: E) Psychological. 3. Managerial Economics makes use of economic theory and concepts and helps in formulating logical managerial decisions. A) True. B) False. Show Answer Correct Answer: A) True. 4. Suppose a $ 2 price ceiling is imposed on the market. Find Qd A) 6. B) 4. C) 7. D) 5. Show Answer Correct Answer: A) 6. 5. The consumer goes on buying the commodity X till ..... A) Marginal Utility of X > Price of X. B) Marginal Utility of X < Price of X. C) Total Utility of X = Marginal Utility of X. D) Marginal Utility of X = Price of X. Show Answer Correct Answer: D) Marginal Utility of X = Price of X. 6. The period of time in which plant capacity can be varied is known as: A) Short run. B) Long run. Show Answer Correct Answer: B) Long run. 7. Plan of action means? A) Strategies. B) Plans. C) Goals. D) None of these. Show Answer Correct Answer: A) Strategies. 8. ..... for a product is a statement of the relation between the quantity supplied and all factors affecting that quantity A) Market demand function. B) Production function. C) Market supply function. D) All of the above. Show Answer Correct Answer: C) Market supply function. 9. If an input is owned and used by a firm, then its A) Explicit cost is zero. B) Implicit cost is zero. C) Opportunity cost is zero. D) Economic cost is zero. Show Answer Correct Answer: A) Explicit cost is zero. 10. He is the father of macroeconomics. A) John Caines. B) John Keynes. C) Earl Uy. D) Ferdinand Marcos. Show Answer Correct Answer: B) John Keynes. 11. Given:M = 100, Px = 25, Py = 20Find the horizontal intercept of the budget line. A) 5. B) 4. C) 0.8. D) 0.25. Show Answer Correct Answer: B) 4. 12. ..... focuses on the behavior of the individual actors on the economic stage, that is, firms and individuals and their interaction in markets. A) Economics. B) Micro economics. C) Macro Economics. D) Managerial economics. Show Answer Correct Answer: B) Micro economics. 13. Which of the following is the best example of "how goods and services should be produced?" A) Complying with the technical specifications in the production of an aircraft. B) The production of jet aircraft for the air force or for a commercial airline. C) The use of additional workers versus the use of machines in the production of goods. D) The production of a new manufacturing facility. Show Answer Correct Answer: C) The use of additional workers versus the use of machines in the production of goods. 14. The price of petrol/gas is expected to increase next week. Then today the demand for petrol/gas will A) Increase. B) Decrease. Show Answer Correct Answer: A) Increase. 15. The out of pocket costs are ..... A) Sunk costs. B) Marginal costs. C) Explicit costs. D) Social costs. Show Answer Correct Answer: B) Marginal costs. 16. The totality of a group of producers' supply. A) Aggregate Demand. B) Aggregate Supply. C) Demand Schedule. D) Supply Schedule. Show Answer Correct Answer: B) Aggregate Supply. 17. It reflects the consumers' desire for commodity. A) Supply Function. B) Demand Function. C) Supply. D) Demand. Show Answer Correct Answer: D) Demand. 18. In a perfectly competitive market, all goods are exactly the same. Buyers and sellers are so numerous that no one can affect the market price, "Price Takers" . A) True. B) False. Show Answer Correct Answer: A) True. 19. Which of the following is not a type of option demand? A) Consumption and demand for productive goods. B) Generation and industry demand. C) Short term and long term demand. D) Rural and urban demand. Show Answer Correct Answer: D) Rural and urban demand. 20. Managerial Economics helps in achieving business objectives by making strategic business decisions A) True. B) False. Show Answer Correct Answer: A) True. ← PreviousNext →Related QuizzesEconomics QuizzesManagerial Economics Quiz 1Managerial Economics Quiz 2Managerial Economics Quiz 3Managerial Economics Quiz 4Managerial Economics Quiz 5Managerial Economics Quiz 6Managerial Economics Quiz 7Managerial Economics Quiz 8Managerial Economics Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books