MCQ Bank
Pairs of any linear programming problem are called:
- A) Primal and dual
- B) Dual
- C) Primal
- D) Shadow price
The firm is a price taker in which of the following market structures?
- A) Perfect competition
- B) Monopolistic competition
- C) Monopoly
- D) Oligopoly
Cigarettes are an example of which type of market structure?
- A) Monopoly
- B) Oligopoly
- C) Monopolistic competition
- D) Perfect competition
In perfect competition, demand curve is:
- A) Positively sloped
- B) Negatively sloped
- C) Vertical
- D) Horizontal
Firms are price makers in which of the following market structures?
- A) Oligopoly
- B) Monopolistic competition
- C) Perfect competition
- D) Monopoly
Which of the following is the similarity of monopolistic competition with perfect competition?
- A) Free entry and exit of firms
- B) Small number of buyers and sellers
- C) Barriers to entry and exit of firms
- D) Single buyer
Stock market is an example of which of the following market structures?
- A) Monopoly
- B) Oligopoly
- C) Perfect competition
- D) Monopolistic competition
Allocative efficiency is achieved in perfect competition at the point where:
- A) Price = Marginal revenue
- B) Price = Average revenue
- C) Price = Marginal cost
- D) Price = Average cost
Given the total revenue equation: TR = 26Q, marginal revenue is:
- A) 26 + Q
- B) 26
- C) Q
- D) 26Q
Given the marginal cost function: MC = 430 + 25Q. What is the slope of this marginal cost curve?
- A) 430+Q
- B) 25
- C) 430
- D) 25Q
In perfect competition, which of the following is the short run supply curve?
- A) Average revenue curve
- B) Average cost curve
- C) Marginal revenue curve
- D) Marginal cost curve
Many fast food restaurants are working in Pakistan. These are the example of:
- A) Monopoly
- B) Perfect competition
- C) Oligopoly
- D) Monopolistic competition
Price always exceeds marginal revenue in which of the following market structures?
- A) Oligopoly
- B) Monopoly
- C) Monopolistic competition
- D) Perfect competition
WAPDA is an example of which of the following market structures?
- A) Perfect competition
- B) Monopolistic competition
- C) Monopoly
- D) Oligopoly
A firm is bearing cost of Rs.52, 000 for producing its product and earning Rs.55, 000. What is the total profit of the firm?
- A) Rs.107, 000
- B) Rs.55, 000
- C) Rs.3, 000
- D) Rs.52, 000
In monopoly, demand curve is:
- A) Negatively sloped
- B) Positively sloped
- C) Horizontal
- D) Vertical
Which of the following is TRUE about shadow prices?
- A) None of the given options
- B) Change in objective value = Shadow price
- C) Change in objective value = (Shadow price) (Change in the right hand side of constraint
- D) Change in objective value = Change in the right hand side of constraint
Which of the following market structure lies between monopoly and perfect competition?
- A) Oligopoly
- B) Monopoly
- C) Monopolistic competition
- D) Perfect competition
Monopoly firm breaks even at the point where:
- A) Average total cost < Price
- B) Average total cost = Marginal cost
- C) Average total cost > Price
- D) Average total cost = Price
In case of dual constraints, binding constraints imply:
- A) Two slacks
- B) No slack
- C) One slack
- D) Three slacks