Managerial Economics Quiz - 1

1. A fall in quantity demanded without a fall in price shows decrease in demand.
[A]TRUE
[B]FALSE



2. A firm is a technical unit of a given capacity of output.
[A]TRUE
[B]FALSE



3. A firm under perfect competition is a price maker.
[A]TRUE
[B]FALSE



4. A Joint stock company has perpetual succession.
[A]TRUE
[B]FALSE



5. A Joint Stock Company is managed by the Board of Directors elected by shareholders.
[A]TRUE
[B]FALSE



6. A monopolist can decide both price and the quantity of a product that he is going produce and sell in the market.
[A]TRUE
[B]FALSE



7. A monopolist in a price maker.
[A]TRUE
[B]FALSE



8. A monopolist’s product is a unique product.
[A]TRUE
[B]FALSE



9. A plant is an economic unit which takes various decisions related to production and distribution.
[A]TRUE
[B]FALSE



10. A shift in the demand curve to the left shows increase in demand.
[A]TRUE
[B]FALSE



11. A supply schedule is a graphical presentation of supply patterns.
[A]TRUE
[B]FALSE



12. According to J.B. Clark, profit is the reward paid to the entrepreneur for dynamism.
[A]TRUE
[B]FALSE



13. According to Prof Knight, profit is the reward for uncertainty bearing.
[A]TRUE
[B]FALSE



14. According to Theory Y, people lack self-motivation and require to be externally controlled and closely supervised in order to get the maximum output for them.
[A]TRUE
[B]FALSE



15. Accounting profit takes in to account opportunity cost.
[A]TRUE
[B]FALSE