Top 250+ Solved Managerial Economics 1 MCQ Questions Answer
Q. Which of the following is not a variable input
a. raw material
b. power
c. equipment
d. none of these
Q. Which cost is more useful for decision making
a. opportunity cost
b. sunk cost
c. historical cost
d. none of these
Q. Which cost are recorded in books of accounts
a. opportunity cost
b. implicit cost
c. social cost
d. explicit cost
Q. Fixed cost per unit increases when
a. volume of production decreases
b. volume of production increases
c. variable cost per unit decreases
d. none of these
Q. Variable cost per unit
a. remains fixed
b. varies with the volume of production
c. varies with sales
d. none of these
Q. Firms in an oligopoly
a. are independent of each other’s action
b. can each influence the market price
c. charge a price equal to marginal revenue
d. all of these
Q. Cost plus pricing is also called
a. margin pricing
b. full cost pricing
c. mark up pricing
d. all the above
Q. Average cost pricing is also called as
a. cost plus pricing
b. marginal cost pricing
c. margin pricing
d. both a & c
Q. Under which method, the cost is added with the predetermined target rate of return on capital invested
a. Cost plus pricing
b. Target pricing
c. Mark up pricing
d. None of these
Q. Target pricing is also called as
a. Cost plus pricing
b. Rate of return pricing
c. Mark up pricing
d. None of these
Q. Under the Marginal cost pricing, the price is determined on the basis of;
a. Fixed cost
b. Variable cost
c. Total cost
d. Average cost
Q. Cinema Theater, telephone bills etc..are following
a. Full cost pricing
b. Marginal cost pricing
c. Differential pricing
d. Mark up pricing
Q. Price discrimination is also called as
a. Discriminatory pricing
b. Differential pricing
c. Average cost pricing
d. a & b above
Q. The method of pricing which is also known as Parity pricing and Acceptance pricing is
a. Differential pricing
b. Going rate pricing
c. Discriminatory pricing
d. Mark up pricing
Q. The pricing of cup of tea or coffee, is an example of
a. Mark up pricing
b. Marginal cost pricing
c. Conventional pricing
d. Cost plus pricing