MCQ-11: As many as 9 firms produce Hair Shampoo in Bangladesh. The multinational company Unilever produces 53 percent of the industry output while all others including Square Cosmetics Ltd. supply the rest. Square produces about 17 percent of the overall shampoo sale. Square Cosmetics Ltd. will perhaps adopt one of following pricing strategies:

a. Calculate average cost and add a mark-up of 10%.

b. Calculate the break-even price and apply it.

c. Accept Unilever as the market leader and follow its pricing policy.

d. Set a price where MR=MC.

MCQ-12: Singer manufactures and sells 2 million 40-inch T.V. sets per year and sells at a price of Taka 60 thousand per set. Its marginal cost of production is Taka 55 thousand. What should Walton do? (Tick only one correct answer)

a. Increase output until MR=MC

b. Reduce cost of production for securing higher unit profit

c. Try to Maximize total profit.

d. All above.

MCQ-13: Which of the statement below is NOT correct for firms in a duopoly situation?

a. Firms in a duopoly never seek to maximize profit on the principle of doing MC=MR.

b. Firms in a duopoly don't try to reduce cost of production.

c. A firm in a duopoly always takes decision based on the decision of its competitor.

MCQ-14: Which of the following markets is most likely to be oligopolistic in structure?

a. the market for paddy in the rural areas.

b. the market for railway services

c. the market of 5-star hotels in Dhaka city

MCQ-15: Jalil Mian earns net BDT 1500 every day from his photocopy shop. He has decided to keep his shop shut for 2 days to attend World Cup Football in Tangail stadium. The cost of transportation for the trip is BDT 600, Hotel and Food for two days is BDT 1200 and other expenses are BDT 300. The price of the ticket is BDT 300. The opportunity cost of Jalil Mian's trip to Tangail for viewing World Cup Football is (Arg vs Bra) is:

a. BDT 2700

b. BDT 3000

c. BDT 1800

d. BDT 2100