Public utilities are an example of:

• A) Perfect competition
• B) Oligopoly
• C) Natural monopoly
• D) Monopolistic competition

If percentage change in cost is equal to the percentage change in output then:

• A) Cost elasticity is less than one
• B) Cost elasticity is indeterminate
• C) Cost elasticity is more than one
• D) Cost elasticity is equal to one

which of the following aspects of production are dealt in engineering technique:

• A) Administrative aspects
• B) Cost aspects
• C) None of the above
• D) Technical aspects

Which of the following model maximizes or minimizes a linear function subject to the set of linear constraints?

• A) Demand-Supply model
• B) Linear Programming model
• C) IS-LM model
• D) Regression model

A producer earns total revenue of Rs. 700 by selling certain units of a commodity at the price of Rs. 10 per unit. How many units he has sold of that commodity?

• A) 70 units
• B) 60 units
• C) 30 units
• D) 10 units

Given the profit equation: $$\pi \, = \,10X\, + \,7Y$$ If we solve it for X, we obtain:

• A) $$X\, = \,\pi /10\, - \,10/7Y$$
• B) $$X\, = \,\pi /10\, - \,7/10Y$$
• C) $$X\, = \,\pi /7\, - \,7/10Y$$
• D) $$X\, = \,\pi /10\, - \,10/10Y$$

Short run average cost curves are U-shaped because of:

• A) The law of demand
• B) The law of diminishing returns
• C) The law of diminishing utility
• D) The law of supply

The solution which satisfies all the constraints is known as the:

• A) Feasible solution
• B) Corner solution
• C) Wrong solution
• D) Non feasible solution

TVC = a + bQ. This equation depicts which of the following?

• A) Linear cost function
• B) Simultaneous function
• C) Quadratic cost function
• D) Cubic cost function

Who introduced the concept of linear programming?

• A) John von Neumann
• B) George B Dantzig
• C) Joel Dean
• D) Leonid Kantorovich

If TFC= 200, Price = 10 and AVC = 5, than Break even output level will be:

• A) 20
• B) 40
• C) 30
• D) 50

The firm’s long run average cost curve is derived from the:

• A) Short run marginal cost curve
• B) Long run marginal cost curve
• C) Short run total cost curve
• D) Long run total cost curve

Which of the following is/are special type/s of problems of linear programming?

• A) Multiple optimal solutions
• B) Unbounded solutions
• C) All of the given options
• D) Infeasible solutions

In which of the following cases, cost elasticity will be more than one?

• A) When percentage change in cost is equal to the percentage change in output
• B) When percentage change in cost is less than the percentage change in input
• C) When percentage change in cost is less than the percentage change in output
• D) When percentage change in cost is greater than the percentage change in output

Usually we measure output in:

• A) Percentage
• B) Physical units
• C) Rupees
• D) Monetary units

which of the following is used to calculate optimal number of plants:

• A) Optimal multi plant activity level / Optimal Production per plant
• B) None of the above
• C) Optimal Production per plant / Optimal multi plant activity level
• D) Optimal multi plant activity level - Optimal Production per plant

Percentage change in profit due to one unit change in sales is known as:

• A) Cost elasticity
• B) Economies of scale
• C) Degree of freedom
• D) Degree of operating leverage

Cost is usually measured in:

• A) Physical units
• B) Percentage
• C) Absolute term
• D) Monetary units

If the percentage change in profit is Rs. 400 and percentage change in sales is Rs. 100 then what will be the degree of operating leverage?

• A) 3
• B) 1
• C) 4
• D) 2

In centralized cartels, collusion is:

• A) Implicit
• B) Not possible
• C) Ambiguous
• D) Explicit