Kindly assist me . Thank you

Question 1

In a perfectly competitive market, the price of the good equals its marginal cost because

a) that is the price that the Government will allow producers to sell at

B) Price is less than marginal revenue

C) that is the price that allows firms to maximize profits

d price is greater than marginal revenue

Clear my choice

Question 2

The requirement for profit maximization under perfect competition is

A) Marginal Revenue should be greater than marginal cost

B) Average revenue should be equal to price.

C) Marginal revenue should be less than marginal cost

D) Marginal revenue should be equal to marginal cost

Question 3

In the long run, a perfectly competitive firm will always have

A) Positive above normal profits

B) negative above normal profits

C) zero above normal profits

D) Either a profit or a loss

Clear my choice

Question 4

If marginal revenue is greater than marginal cost, increasing output will

A) have no impact on profits

B) All of the above

C) reduce profits

D) Increase profits

Question 5

A monopolist's marginal revenue curve is always

A) above its demand curve

B) below its demand curve

C) the same as its demand curve

D) upward sloping

Question 6

The models of perfect competition and monopoly

A) are useful for establishing benchmarks to evaluate real world situations

B) provide few insights into the real world

C) all of the above

D) describe most real world markets

Question 7

The behaviour of decision makers in perfectly competitive and monopoly firms in similar in the following respect?

A) All of the above

B) In both cases, profits are maximized by setting price equal to marginal cost

C) In both cases, profits are maximized by setting marginal cost equal to marginal revenue

D) In both cases, profits are maximized by setting price equal to average cost

Question 8

Which of the following is true of both perfectly competitive and monopolistically competitive firms?

A) Both earn only a normal profit in the long run

B) Both sell a homogeneous product

C) Both set price equal to marginal cost

D) Both face slightly downward sloping demand curves

Question 9

Firms in a monopolistically competitive industry

A) May earn above normal profits in the short run

B) face a horizontal demand curve

C) Have a large control over price

D) May earn above normal profits in the long run

Question 10

Monopolistic competition is characterized by

A) many firms selling differentiated products

B) few firms selling differentiated products

C) Few firms selling identical products

D) many firms selling identical products

Question 11

Consider the four criteria used to describe market structure. For which of the criteria do perfect competition and monopolistic competition differ?

A) Product differentiation

B) Number and size distribution of buyers

C) Conditions of entry and exit

D) Number and size distribution of sellers

Question 12

Compared to perfect competition, with a monopoly

A) price and output are less

B) price is greater and output is less

C) price is less and output is greater

D) price and output are greater

Question 13

A firm in long run perfect competition is charging $5.00 for its product. Its long run average Total cost is ATC = 50 - 6Q + 0.2Q2 (Fifty minus six Q plus 0.2 Q squared), how much output should the firm produce?

A) 10

B) 25

C) 5

D) 15

Question 14

A monopolist demand function is given by P = 80 - 4Q (Eighty minus four Q). Its total costs is given by TC = 10Q + Q2 (Ten Q plus Q squared). How much profit is the monopolist making?

A) 200

B) 120

C) 245

D) 300

Question 15

In a monopolistically competitive market in the long run, the demand function is given as P = 5.00 - 0.002Q ( Five minus zero point zero zero two Q) and Average Total Costs are given by ATC = 6.00 - 0.004Q + 0.000001Q2 ( six minus zero point zero zero four Q plus zero point zero zero zero zero zero one Q squared ) what price should be charged?

A) $3.00

B) None of the above

C) $2.00

D) $1.00