21) Suevania opens its doors to trade with Barvania. Barvania has a comparative advantage in the production of machinery. Hence, once trade occurs Suevania’s consumers will buy ________ machinery and pay ________ before. A) more; a higher price than B) more; a lower price than C) less; a higher price than D) less; a lower price than E) the same amount of; the same […]

      Quantity of pizza Total utility from pizza Quantity of Diet Pepsi Total utility from Diet Pepsi 0 0 0 0 1 24 1 14 2 44 2 26 3 60 3 36 4 72 4 44 5 76 5 50 6 79 6 54 7 80 7 56   61) Suppose that you consume only pizza and Diet Pepsi. The table above […]

    Matching   133.Match each of the following terms with the phrase that most closely describes it. Each answer may be used only once.   _____  1.conversion costs _____  2.cost per equivalent unit _____  3.equivalent units _____  4.lost units _____  5.process costing _____  6.production cost report _____  7.total cost accounted for _____  8.transferred-in cost _____  9.units accounted for _____ 10.units to account for   […]

  81. (p. 240) Which of the following is an advantage of decentralization?  A. It reduces the cost of conducting the research. B. It increases the quality of the research result. C. Decentralization ensures that control rests in hands closer to the market. D. Respondents give more accurate information when the research is carried out by a local researcher. E. Comparatively fewer government restrictions are placed on a research which is conducted by […]

    31) To find the market demand curve for in-line skates, we must A) add the quantities demanded at every price and every income by every buyer of in-line skates. B) add the quantities demanded at prices that all buyers can afford to pay. C) sum horizontally the individual demand curves of all the buyers. D) take account of the skate buying plans of […]

    41) What happens to the demand for a good if a complement’s price increases? A) The demand decreases and the demand curve shifts rightward. B) The demand increases and the demand curve shifts rightward. C) The demand decreases and the demand curve shifts leftward. D) The demand increases and the demand curve shifts leftward. E) There is no impact on demand for the […]

    21) Ronald Coase was awarded the 1991 Nobel Prize in Economics primarily for addressing problems related to externalities. Which of the following describes Coase’s work? A) Coase argued that government intervention is necessary to achieve economic efficiency in markets that are affected by externalities. B) Coase proved that economic efficiency cannot be achieved in a market that is affected by positive or negative […]

    81. Poole Products Inc. has the following product information available:    Sales price $25 per unit   Variable costs $10 per unit   Fixed costs $ 36,000       If Poole is in the 40% tax bracket, how many units need to be sold in order to earn an after-tax target profit of $249,000? A. 30,067B. 12,360C. 27,667D. 31,667   82. LeBlanc Manufacturing has the following product information available:  […]

    77.              The production budget shows expected unit sales are 100,000. The required production units are 104,000. What are the beginning and desired ending finished goods units, respectively? Beginning UnitsEnding Units a.10,0006,000 b.6,00010,000 c.4,00010,000 d.10,0004,000     78.              The production budget shows that expected unit sales are 48,000. The total required units are 54,000. What are the required production units? a.6,000 b.9,000 c.12,000 d.Cannot […]

  61) A tax on the income from land or other resource with a perfectly inelastic supply A) is efficient because it does not decrease the equilibrium quantity. B) has no deadweight loss. C) is paid entirely by the owner. D) Only answers A and B are correct. E) Answers A, B, and C are correct.   62) Because the supply of land is perfectly […]