An entrepreneur is encouraged to adopt division of labour in production because it
Provide more employment opportunities
Leads to increased output and lower cost of production
Brings about equal cost and employment opportunities
Leads to increased cost of production and lower output
Correct answer is B
Division of labour is immensely important in our economic system because it allows for work to be done much more quickly and efficiently than it would be without the division of labour. Division of labour is when tasks are split up into specialized separate tasks. it brings about increased output and while minimizing cost.
Only the variable factors can be altered
All factors become variable
The firm will cease to exist
Only the fixed factors can be altered
Correct answer is B
The long run is a period of time in which all factors of production and costs are variable. In the long run, firms are able to adjust all costs.
Excess demand
Excess supply
Parallel market
Hoarding of goods
Correct answer is B
A price floor is the lowest legal price a commodity can be sold at. Price floors are used by the government to prevent prices from being too low. When a market reaches a price floor, it results in an excess supply because quantity supplied at the price floor exceeds the quantity demanded.
How does producers expectation of a price fall affect the supply curve of a product? There will be
A moment along the curve
A leftward shift
No shift of the supply curve
A shift to the right
Correct answer is D
If sellers expect that the price of the good will be decreasing in the future, then they are likely to sell more today. This causes an increase in supply and a rightward shift of the supply curve.
108tons
52tons
-52tons
-108tons
Correct answer is A
Qs = - 80 - 0.7p
(minus x minus = +)
Qs = 80 + 0.7(40)
Qs= 80 + 28
Qs= 108