36.Labor and overhead are often grouped together and referred to as A.prime costs. B.conversion costs. C.total manufacturing costs. D.equivalent unit costs.   37.Which of the following statements about process costing is true? A.Total transferred-in cost is equal to the total transferred-out cost during a period. B.The costs of inventory completed in its final department in the manufacturing process will be transferred to Finished […]

    21.Which vegetable subgroup of the USDA Food Patterns is not correctly matched with its target nutrient(s)? a.red and orange vegetables – vitamin D b.starchy vegetables – carbohydrate c.dark green vegetables – folate d.legumes – iron and protein   22.The best way for a person to get all the essential nutrients and keep energy intake low is to: a.use the principle of the discretionary […]

  21.RefertoTable14-15.Whatisthelowestpriceatwhichthisfirmwouldoperateintheshortrun? a.$3. b.$4. c.$5. d.$6. Table14-15-a   Quantity TotalCost 0 $4 1 $10 2 $16 3 $21 4 $24 5 $35 6 $48 22.RefertoTable14-15-a.Whatisthelowestpriceatwhichthisfirmwouldoperateintheshortrun? a.$5. b.$6. c.$7. d.$8. Figure14-12                               23.RefertoFigure14-12.Ifthefigureinpanel(a)reflectsthelong-runequilibriumofaprofit-maximizingfirminacompetitivemarket,thefigureinpanel(b)mostlikelyreflects a.perfectlyinelasticlong-runmarketsupply. b.perfectlyelasticlong-runmarketsupply. c.theentryoffirmsintotheindustrywhensomeresourcesusedinproductionareavailableonlyinlimitedquantities. d.thefactthatzeroprofitscannotbesustainedinthelongrun. 24.Inacompetitivemarketwithidenticalfirms, a.anincreaseindemandintheshortrunwillresultinanewpriceabovetheminimumofaveragetotalcost,allowingfirmstoearnapositiveeconomicprofitinboththeshortrunandthelongrun. b.firmscannotearnpositiveeconomicprofitineithertheshortrunorlongrun. c.firmscanearnpositiveeconomicprofitinthelongrunifthelong-runmarketsupplycurveisupwardsloping. d.freeentryandexitintothemarketrequiresthatfirmsearnzeroeconomicprofitinthelongruneventhoughtheymaybeabletoearnpositiveeconomicprofitintheshortrun. 25.Whennewfirmsenteraperfectlycompetitivemarket, a.economicprofitsofexistingfirmswillcontinuetobezero. b.enteringfirmswillearnzeroeconomicprofituponentryintothemarket. c.existingfirmsmayseetheircostsriseifmorefirmscompeteforlimitedresources. d.priceswillriseasexistingfirmsraisepricestokeepnewfirmsoutofthemarket. 26.Supposeacompetitivemarketiscomprisedoffirmsthatfaceidenticalcostcurves.Thefirmsexperienceanincreaseindemandthatresultsinpositiveprofitsforthefirms.Whichofthefollowingeventsarethenmostlikelytooccur? a.(i)and(ii)only b.(i)and(iii)only c.(ii)and(iii)only d.(i),(ii)and(iii) […]

  38) In the past the federal government often employed what is called a “command and control” approach to the reduction of pollution emissions. Many economists are critical of this approach because A) it does not lead to significant reductions in pollution. B) they believe a market-based approach will reduce pollution more efficiently. C) the “command and control” approach is designed to help firms at […]

  CHALLENGE EXERCISES   171.VeraTrac has traditionally used direct labor cost to allocate overhead to its two products—hammers and mallets. To improve cost determination, VeraTrac set up 3 activity pools: setups, purchase ordering, and quality control. VeraTrac provided the following information for the last quarter of 2014 related to the actual production of 2,400 hammers and 1,600 mallets:   Estimated CostExpected ActivityActual CostActual Activity HammersMallets […]

    19.6   Analyzing Policy Options for Reaching Internal and External Balance   1) When the exchange rate, E, and the foreign price level, P*, is fixed, domestic inflation depends primarily on A) amount of aggregate demand. B) home price level set by IMF. C) current account balance. D) government tax policy. E) foreign interest rates.   2) The current account surplus is A) an […]

    11) After a tariff is imposed, consumers must pay a price equal to the A) world market price. B) domestic equilibrium price when there is no trade. C) world market price plus the tariff. D) world market price less the tariff. E) domestic equilibrium price when there is no trade plus the tariff.   12) Suppose the world price of widgets is $5 […]

  4.3  How Do Sellers Behave? 1) The quantity supplied of a good: A) is inversely related to the price of the good. B) is determined irrespective of the market price. C) is always equal to the quantity demanded of the good. D) is the amount of the good that sellers are ready to supply at a given price. 2) A supply schedule is a […]

  121.Accordingtoliquiditypreferencetheory,adecreaseinthepricelevelcausestheinterestrateto a.increase,whichincreasesthequantityofgoodsandservicesdemanded. b.increase,whichdecreasesthequantityofgoodsandservicesdemanded. c.decrease,whichincreasesthequantityofgoodsandservicesdemanded. d.decrease,whichdecreasesthequantityofgoodsandservicesdemanded. 122.Accordingtothetheoryofliquiditypreference,anincreaseinthepricelevelcausesthe a.interestrateandinvestmenttorise. b.interestrateandinvestmenttofall. c.interestratetoriseandinvestmenttofall. d.interestratetofallandinvestmenttorise. 123.Accordingtothetheoryofliquiditypreference,adecreaseinthepricelevelcausesthe a.interestrateandinvestmenttorise. b.interestrateandinvestmenttofall. c.interestratetoriseandinvestmenttofall. d.interestratetofallandinvestmenttorise. 124.Accordingtoliquiditypreferencetheory,ifthepricelevel a.fell,theinterestratewouldrise,andinduceinvestmentspendingtorise. b.fell,theinterestratewouldfall,andinduceinvestmentspendingtofall. c.rose,theinterestratewouldrise,andinduceinvestmentspendingtofall. d.rose,theinterestratewouldfall,andinduceinvestmentspendingtorise. 125.Themostimportantreasonfortheslopeoftheaggregate-demandcurveisthatasthepricelevel a.increases,interestratesincrease,andinvestmentdecreases. b.increases,interestratesdecrease,andinvestmentincreases. c.decreases,interestratesincrease,andinvestmentincreases. d.decreases,interestratesdecrease,andinvestmentdecreases. 126.Whichofthefollowingproperlydescribestheinterest-rateeffectthathelpsexplaintheslopeoftheaggregate-demandcurve? a.Asthemoneysupplyincreases,theinterestratefalls,sospendingrises. b.Asthemoneysupplyincreases,theinterestraterises,sospendingfalls. c.Asthepricelevelincreases,theinterestratefalls,sospendingrises. d.Asthepricelevelincreases,theinterestraterises,sospendingfalls. 127.Otherthingsthesame,asthepricelevelrises, a.theinterestraterisescausingaggregatedemandtoshift. b.theinterestraterisescausingamovementalongagivenaggregate-demandcurve. c.theinterestratefallscausingaggregatedemandtoshift. d.theinterestratefallscausingamovementalongagivenaggregate-demandcurve. 128.Whichofthefollowingproperlydescribestheinterest-rateeffect? a.Ahigherpricelevelleadstohighermoneydemand;highermoneydemandleadstohigherinterestrates;ahigherinterestrateincreasesthequantityofgoodsandservicesdemanded. b.Ahigherpricelevelleadstohighermoneydemand;highermoneydemandleadstolowerinterestrates;ahigherinterestratereducesthequantityofgoodsandservicesdemanded. c.Alowerpricelevelleadstolowermoneydemand;lowermoneydemandleadstolowerinterestrates;alowerinterestratereducesthequantityofgoodsandservicesdemanded. d.Alowerpricelevelleadstolowermoneydemand;lowermoneydemandleadstolowerinterestrates;alowerinterestrateincreasesthequantityofgoodsandservicesdemanded. 129.Intheshortrun,anincreaseinthemoneysupplycausesinterestratesto a.increase,andaggregatedemandtoshiftright. b.increase,andaggregatedemandtoshiftleft. c.decrease,andaggregatedemandtoshiftright. d.decrease,andaggregatedemandtoshiftleft. 130.Anincreaseinthemoneysupplywill a.increaseinterestrates,decreasinginvestmentandaggregatedemand. b.reduceinterestrates,increasinginvestmentandaggregatedemand. c.reduceinterestrates,decreasinginvestmentandincreasingaggregatedemand. d.increaseinterestrates,increasinginvestmentandaggregatedemand.    

    51.              Consider the reaction and its equilibrium constant: S2Cl2(g) + Cl2(g) 2SCl2(g)  Keq = 4 Examine the figure, and determine if the system is at equilibrium. If it is not, in which direction will it proceed to reach equilibrium? A)The reaction is at equilibrium. B)The reaction is not at equilibrium, it will shift to the left. C)The reaction is not at equilibrium, it […]