Month: October 2018

When marginal cost is greater than average total cost, the ……..?

Select ONE answer:

1. Marginal cost decreases as output increases.
2. Average total cost decreases as output increases.
3. Marginal cost does not change as output increases.
4. Average total cost increases as output increases.

Show your workings to arrive at your answer, and explain and justify your reasons:……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Economics KS5 classes.

The answer is 4

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Marginal cost is equal to ……..?

Select ONE answer:

1. The change in total cost divided by the change in total revenue.
2. The change in total cost divided by the change in quantity.
3. Quantity divided by total cost
4. Total cost divided by quantity.

Show your workings to arrive at your answer, and explain and justify your reasons:……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Economics KS5 classes.

The answer is 2

This work is licensed under a Creative Commons Attribution 4.0 International License.

Marginal cost tends to ……..?

Select ONE answer:

1. First decrease and then increase as the quantity produced is increased.
2. Always increase as the quantity produced is increased.
3. Always decrease as the quantity produced is increased.
4. First increase and then decrease as the quantity produced is increased.

Show your workings to arrive at your answer, and explain and justify your reasons:……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Economics KS5 classes.

The answer is 1

This work is licensed under a Creative Commons Attribution 4.0 International License.

As output increases, average fixed cost ……..?

Select ONE answer:

1. Decreases continuously.
2. Remains constant.
3. Decreases, then increases.
4. Increases, then decreases.

Show your workings to arrive at your answer, and explain and justify your reasons:……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Economics KS5 classes.

The answer is 1

This work is licensed under a Creative Commons Attribution 4.0 International License.

Total variable cost ……..?

Select ONE answer:

1. Does not change as output changes.
2. Increases as output increases.
3. Decreases as output increases.
4. Initially decreases and then increases as output increases.

Show your workings to arrive at your answer, and explain and justify your reasons:……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Economics KS5 classes.

The answer is 2

This work is licensed under a Creative Commons Attribution 4.0 International License.