Month: November 2018

For a perfectly competitive firm, the price is the same as …..……. ?

Select ONE answer:

1. total revenue.
2. average variable cost.
3. marginal revenue.
4. both answers A and B are correct.

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 3

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

The firm’s goal is to …..……. ?

Select ONE answer:

1. maximize its normal profit.
2. maximize its economic profit.
3. maximize its industry’s revenue.
4. maximize its total revenue.

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.

In a perfectly competitive market …..……. ?

Select ONE answer:

1. each firm sets its own price so that it is different from its competitors.
2. each firm takes the good’s price as given to it by the market.
3. an economic profit is certain.
4. consumers are persuaded by advertising.

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.

In perfect competition ……. ?

Select ONE answer:

1. normal profit.
2. marginal revenue.
3. economic profit.
4. marginal profit.

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 3

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

In perfect competition ……. ?

Select ONE answer:

1. demand for the good or service is small relative to the minimum efficient scale of a single producer.
2. demand for the good or service can be small relative to the minimum efficient scale of a single producer as long as the goods or services are not identical.
3. the size of demand for the good or service relative to the minimum efficient scale of a single producer does not affect competition.
4. demand for the good or service is large relative to the minimum efficient scale of a single producer.

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

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