CBSE Class 11 (Commerce) Microeconomics: Producer Behaviour and Supply — practice questions
51 free MCQs with worked solutions. Tap any question for the answer + explanation, or practice them all in the app.
Practice CBSE Class 11 (Commerce) Microeconomics: Producer Behaviour and Supply in the app →Average total cost (ATC) is the sum of which two costs?Which formula gives average fixed cost (AFC) at output Q?Average variable cost at output Q is found by dividing which cost by Q?Total cost of a firm in the short run equals which sum?When marginal cost is above average variable cost, what happens to AVC?When marginal cost lies below average total cost, ATC must be doing what?Average total cost is at its minimum when marginal cost is what?Average variable cost reaches its lowest value where it equals which cost?Marginal cost is equal to which feature of the total cost function?In the long run, which inputs of a firm are variable?What mainly shapes the long-run marginal cost curve?Compared with the short-run marginal cost curve, the long-run one tends to be what?Where does the LRMC curve cut the long-run average cost curve?If LRMC is below LRAC, what is long-run average cost doing?What mainly causes the initial fall of the short-run average cost curve?The rising part of the short-run average cost curve is due to what?The shape of the long-run average cost curve reflects which factors?How does long-run average total cost compare with short-run average total cost?Under constant returns to scale, which costs are all equal at minimum SRAC?A firm on the upward-sloping part of its LRAC curve faces what?In long-run competitive equilibrium, what profit does a firm earn?Given constant factor prices, what determines all of a firm's cost functions?At the point where a short-run cost curve touches the long-run one, how do the totals compare?A cost curve shows costs of production as a function of what?Profit-maximising firms use cost curves mainly to decide what?A production function gives the technological relation between which two things?A production function usually specifies which output for given inputs?Which trio were classically treated as the primary factors of production?Why does a price-taking firm never operate in Stage 1 of production?In Stage 2 of production, what happens to output as variable input rises?Stage 3 of production is marked by which condition?How can a firm change its scale of operations in the long run?Aggregate production functions are mainly used for what purpose?In the goods market, supply is the amount producers are what?By the law of supply, a rise in price, other things equal, leads to what?A change in the good's own price causes what on the supply curve?A shift of the supply curve occurs only when what changes?A technological advance in producing a good does what to its supply?If the price of inputs such as energy rises, the supply curve does what?When more firms enter an industry, the market supply curve does what?How is the market supply curve obtained from individual supply curves?Which is an example of government policy that can affect supply?A competitive firm's short-run supply curve is which part of its cost curves?The shutdown point lies at the minimum of which cost?A firm's long-run supply curve is the LRMC portion above the minimum of which cost?Which law shapes the short-run marginal cost curve and hence supply?A supply function can be derived only under which market structure?What is said about a supply curve for a monopoly?For a perfectly competitive seller, how is the price determined?Labour supply is the time people will work as a function of what?What does a supply schedule show?