THE SUPPLY CURVE OF A PERFECTLY COMPETITIVE FIRM IS IDENTICAL TO ITS
A. total cost B. marginal cost ✓ C. fixed cost D. variable inputs The answer to the question is: B. marginal cost In a perfectly competitive market, firms are price takers, meaning they have no control over the market price and must accept…
AS THE LEVEL OF OUTPUT INCREASES, THE AVERAGE FIXED COST OF A FIRM WILL
A. continue to decrease ✓ B. remain unchanged C. continue to increase D. be equal to the total cost The answer to the question is: A. continue to decrease As the level of output increases, the average fixed cost of a firm will continue…
AN EVENT THAT WILL NOT REQUIRE A CHANGE IN THE PROFIT-SHARING RATIO OF PARTNERS IN A FIRM IS WHEN
A. a partner dies B. a partner retires C. a new partner is admitted D. partners assets value appreciates ✓ The answer to the question is: D. partners assets value appreciates An event that will not require a change in the profit-sharing ratio of…
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