Answer the following multiple choice objective questions by mark [A/B/C/D] the correct one. 1- According to Marginal Principle, level should be...

Answer the following multiple choice objective questions by mark [A/B/C/D] the correct one.

1- According to Marginal Principle, level should be chosen where:

a) MB = MC

b) MB is not equal to MC

c) MB is greater than MC

d) MC is greater than MB

2- Which of the following demand curve represent the case of "Perfectly Elastic Demand"?

a)Downward sloping

b)Upward rising

c)Horizontal

d)Vertical

3- Experience of Diminishing Marginal Returns by a firm is possible because:

a) All factors are fixed

b) At least one factors of production is variable.

c) All factors are variable

d)Total cost is increasing

4- A monopolist will maximize its profit, when its:

a)Total revenue is maximum

b)Marginal revenue is maximum

c)Marginal cost is equal to marginal revenue.

d)Total cost is maximum.

5- Oligopoly market with only two firms is called:

a)Monopoly

b)Perfect competition

c)Monopolistic competition

d)Duopoly