61) What are earnings per share equal to? A) the last dividend payment made B) total dividend payments plus retained earnings divided by outstanding stock shares C) the amount by which the stock’s market price has increased in the last year D) revenues divided by the number of stockholders     62) A bond’s coupon payment divided by the bond’s current price is equal […]

  91.Amonopolistfacesthefollowingdemandcurve:   Price Quantity $8 300 $7 400 $6 500 $5 600 $4 700 $3 800 $2 900 $1 1,000   Themonopolisthasfixedcostsof$1,000andhasaconstantmarginalcostof$2perunit.Ifthemonopolistwereabletoperfectlypricediscriminate,howmanyunitswoulditsell? a.400 b.500 c.900 d.4,200 92.Withperfectpricediscriminationthemonopoly a.eliminatesallpricediscriminationbychargingeachcustomerthesameprice. b.chargeseachcustomeranamountequaltothemonopolist’smarginalcostofproduction. c.eliminatesdeadweightloss. d.eliminatesprofitsandincreasesconsumersurplus. 93.Which of the following isnotoneofthewaysthatantitrustlawspromotecompetition? a.Antitrustlawsallowthegovernmenttopreventmergers. b.Antitrustlawsallowthegovernmenttobreakupcompaniesintosmallerones. c.Antitrustlawspreventcompaniesfromcoordinatingtheiractivitiesinwaysthatmakemarketslesscompetitive. d.Antitrustlawsallowthegovernmenttoshutdownanyfirmthegovernmentbelieveshasmonopolypower. Table15-21 Tommy’sTieCompany,amonopolist,hasthefollowingcostandrevenueinformation.AssumethatTommy’sis abletoengageinperfectpricediscrimination.   COSTS REVENUES QuantityProduced   TotalCost MarginalCost QuantityDemanded   Price TotalRevenue MarginalRevenue 0 $100 — 0 $170   — 1 $140 […]

  31.Which of the following will occur if aggregate demand is below full-employment GDP?    A. Recession B. Excessive aggregate demand C. Inflation D. A stable economy 32.Which of the following will occur if aggregate demand is above full-employment GDP?    A. Recession B. Unemployment C. Inflation D. A stable economy 33.According to Keynes, which of the following is always true at macro equilibrium?    A. The economy achieves full employment B. Aggregate demand is inadequate C. Prices are […]

  21) Which of the following is true regarding the measurement of GDP? A) Wages and profit income are used in the income approach to GDP. B) Wages and consumption are used in the expenditure approach to GDP. C) Consumption and investment are used in the income approach to GDP. D) Government expenditure is only counted in the income approach to GDP. E) Investment and […]

  4.1  Markets 1) A(n) ________ is a group of buyers and sellers who are trading goods and/or services. A) firm B) market C) enterprise D) government 2) Which of the following correctly explains the role of the government in a free market? A) The government sets production quotas for sellers in the market. B) The government sets prices according to the relative value of […]

  11) Nigeria would be classified by the International Monetary Fund as A) an advanced economy. B) a developing economy. C) a transition economy. D) an emerging market economy. E) a resource-based economy.   12) ________ economies include ________. A) Developing; Saudi Arabia and South Africa B) Developing; Poland and Russia C) Developing; China and Poland D) Emerging; Poland and Brazil E) Emerging; China and […]

  51) Which of the following is not one of the levels in the Asian version of Maslow’s hierarchy? A) physiological B) safety C) affiliation D) admiration E) self-actualization 52) Packaging aesthetics are particularly important to the: A) Indian. B) Chinese. C) Japanese. D) American. E) Russian. 53) The benefits of strong brands include all of the following except: A) greater loyalty. B) less vulnerability […]

    11) Which of the following increases the quantity supplied of compact discs but does NOT increase the supply of compact discs? A) a decrease in the price of a compact disc B) an increase in the price of a compact disc C) a decrease in the number of suppliers of compact discs D) an increase in the price of the resources used to […]

    21) If taxes are collected on the basis of ability-to-pay and there are two taxpayers with the same income who also are identical in all other respects, which of the following is correct? A) Vertical equity is impossible between these two taxpayers. B) Vertical equity exists. C) Horizontal equity exists. D) The tax must be proportional. E) The fair-incidence principle is potentially being […]

  31) Lauren and Katy each bought a new bike lock for $20. Both Lauren and Katy would have paid $25 for the lock. The total consumer surplus for Lauren and Katy taken together equaled A) $15. B) $10. C) $40. D) $20. E) $50. 32) The price of a cowboy hat is $100. Willie is willing to pay $130, Waylon is willing to pay […]