1. A firmâ??s average total cost is Rs. 300 at 5 units output and Rs. 320 at 6 units of output. The marginal cost of producing the 6th unit is:

A) Rs. 20
B) Rs. 120
C) Rs. 320
D) Rs. 420



2. Price discrimination implies that the monopolist maximizes profits:

A) None of Below
B) By implementing arbitrage
C) By Charging single price
D) By prohibiting Arbitrage



3. A ____ is one which is characterized by free markets and the absence of government intervention in the economy.

A) Mixed economic system
B) Socialist economic system
C) Capitalist economic system
D) All of above



4. We mainly study the following in Micro-Economics:____

A) General price level
B) National income and output
C) Location of industry
D) Employment and economics includes the study



5. A___ is the locus of all such combinations of two commodities which can be produced in a country with its given resources and technology.

A) Demand possibility curve
B) Production possibility curve
C) Supply possibility curve
D) Growth possibility curve