This quiz works best with JavaScript enabled. Home > Finance > Economics > Business Economics > Business Economics – Quiz 41 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Business Economics Quiz 41 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. ....deals with the behavior of individual decision makings units such as consumers, resource owners and so on. A) Macro economics. B) Micro economics. C) Mini economics. D) None of these. Show Answer Correct Answer: B) Micro economics. 2. The cost of a choice that you make. A) Producer. B) Opportunity Cost. C) Consumer. D) Scarcity. Show Answer Correct Answer: B) Opportunity Cost. 3. Which of the following is the first order conditions to profit maximization? A) MR cuts MC from below. B) MR=MC. C) Slope of MC curve must be higher than that of MR curve. D) TR-TC. Show Answer Correct Answer: B) MR=MC. 4. It is not the actual utility, but perceived utility, forms basis for demand for a commodity A) False. B) True. Show Answer Correct Answer: B) True. 5. ..... is the forgone benefit that would have been derived by an option not chosen. To properly evaluate opportunity costs, the costs and benefits of every option available must be considered and weighed against the others. A) Marginal Cost. B) Production cost. C) Opportunity cost. D) None of above. Show Answer Correct Answer: C) Opportunity cost. 6. This type of entrepreneur has multiple businesses and many new ideas to try. A) Business. B) Serial. C) Lifestyle. D) Social. Show Answer Correct Answer: B) Serial. 7. A movie theater sells its tickets at lower prices to students and seniors. This is an example of: A) Prompt payment. B) Price discrimination. C) Stability pricing. D) Price skimming. Show Answer Correct Answer: B) Price discrimination. 8. There are many definitions of Economics, but for modern economists, it is: A) An inquiry into the nature and causes of the wealth of nations. B) A social science. C) The study of how man allocates scarce resources, which have alternative uses, to achieve given goals. D) A practical science of the production and distribution of wealth. Show Answer Correct Answer: C) The study of how man allocates scarce resources, which have alternative uses, to achieve given goals. 9. The gap between limited resources and unlimited wants is known as ..... A) Demand. B) Scarcity. C) Supply. D) Surplus. Show Answer Correct Answer: B) Scarcity. 10. A normative economics statement is A) Economic is a social science that studies human behavior. B) Economics is not a social science that studies human behavior. C) The united states spends a $ 1 trillion on national defence. D) The federal minimum wages should be raised to $ 4.50 per hour. Show Answer Correct Answer: D) The federal minimum wages should be raised to $ 4.50 per hour. 11. What does Business Economics integrate with? A) Mathematics, Statistics, and Econometrics. B) Physics, Chemistry, and Biology. C) History, Geography, and Sociology. D) Literature, Art, and Music. Show Answer Correct Answer: A) Mathematics, Statistics, and Econometrics. 12. The relationship between the quantity of inputs used to make a good and the quantity of output produced. A) Diminishing Marginal Utility. B) Economies of Scale. C) Conjunction Junction. D) Production Function. Show Answer Correct Answer: D) Production Function. 13. Increased tax rates is are a A) Threat. B) Opportunity. C) Strength. D) Weakness. Show Answer Correct Answer: A) Threat. 14. The limited resources available to satisfy the unlimited needs and wants of people. A) A problem. B) Inflation. C) Economics. D) Scarcity. Show Answer Correct Answer: D) Scarcity. 15. Which of the following is NOT an example of a good? A) A teacher. B) A car. C) A pack of gum. D) An X-Box. Show Answer Correct Answer: A) A teacher. 16. When a business "breaks even" they have done what? A) Have more revenue than expenses. B) Have more expenses than revenue. C) Have the same amount of revenue and expenses. D) None of above. Show Answer Correct Answer: C) Have the same amount of revenue and expenses. 17. The problem studied in economics is A) Unlimited wants. B) Unlimited means. C) Scarcity. D) Strategy to meet all our wants. Show Answer Correct Answer: C) Scarcity. 18. In the case of a Giffen good, a fall in its price tends to A) Demand remain constant. B) Demand increases. C) Reduce the demand. D) Abnormal change in demand. Show Answer Correct Answer: C) Reduce the demand. 19. What is business economics A) Application of economic theories to business practices. B) Business + economics. C) Application of business process to economic theory. D) Economical business. Show Answer Correct Answer: A) Application of economic theories to business practices. 20. A monopolistically competitive firm advertises in order to: A) Shift the demand curve for its product to the left. B) Make its product more similar to its competitors'. C) Reduce the industry' s barriers to entry. D) Make the demand for its product less price elastic. Show Answer Correct Answer: D) Make the demand for its product less price elastic. 21. Economic Profit of the business organization is obtained by? A) Adding average revenue. B) Subtracting costs. C) Adding costs. D) Finding gap between TR and TC. Show Answer Correct Answer: D) Finding gap between TR and TC. 22. Computer-aided design (CAD) can increase the productivity of knowledge workers. A) True. B) False. Show Answer Correct Answer: A) True. 23. The micro-environment is common to all enterprises working in a common social, economic, political and technological field. A) True. B) False. Show Answer Correct Answer: B) False. 24. Market demand curves are obtained by A) Determining the price each consumer is willing to pay for the good & summing those prices across all consumers. B) Observing the prices and quantities sold in a market over time and plotting those price-quantity combinations in a graph. C) Summing the quantities every consumer is willing to buy at each different price. D) Observing the behavior of an individual consumer in a market. Show Answer Correct Answer: C) Summing the quantities every consumer is willing to buy at each different price. 25. If there is more demand than there is supply, what will happen? A) The prices come down!. B) Buy-one-get-one-free!. C) Things for free!. D) The product/goods becomes more expensive. Show Answer Correct Answer: D) The product/goods becomes more expensive. 26. The Problem of 'What to Produce' covers the issue relating to- A) What goods are to be produced?. B) What quantities of goods are to be produced?. C) Both (1) and (2). D) Neither (1) Nor (2). Show Answer Correct Answer: C) Both (1) and (2). 27. Indifference curves never intersect each other due to: A) Concave to origin. B) Convex to origin. C) Different levels of satisfaction. D) Same levels of satisfaction. Show Answer Correct Answer: C) Different levels of satisfaction. 28. Administered price refer to: A) Price determined by the forces of demand and supply. B) Prices determined by an external authority which is usually the government. C) Prices determined by sellers in the market. D) None of the above. Show Answer Correct Answer: B) Prices determined by an external authority which is usually the government. 29. Market situation where there is single seller. There is no close substitute and no free entry and exist. is refer as A) Perfect Competition. B) Monopolistic Competition. C) Monopoly. D) Oligopoly. Show Answer Correct Answer: C) Monopoly. 30. Extension and contraction of demand for a good occurs as a result of A) Change in the price of a good. B) Availability of cheaper substitutes. C) Increases in Income. D) Change in the quality of good. Show Answer Correct Answer: A) Change in the price of a good. ← PreviousNext →Related QuizzesEconomics QuizzesFinance QuizzesBusiness Economics Quiz 1Business Economics Quiz 2Business Economics Quiz 3Business Economics Quiz 4Business Economics Quiz 5Business Economics Quiz 6Business Economics Quiz 7Business Economics Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books