Question 1 Price ($) MC ATC AVC -MR, Quantity Question 1: If the firm's demand curve is MR1, what is the firm's output? O Qd O Qa 0 0 O QC O Qb O QT Question 2 Price ($) MC ATC -MP3 AVC -MR, - Quantity Question 2: What is the amount of profit or loss? (use the letters in the graph to form the designated representation (ie, P1,a, Qa, 0 forms the area of a box) O P1. A, Qa. 0 O M,F.G.K O none of the above O P3,E.Qb.0 O M,F.a. P1Question 3 pm (5) Question 3: Suppose the demand curve is MR2, what is the output level? One om DQL Question 4 pm (a) Question 4: Identify the prot or loss incurred by indicating the area( for example rectangle 0. P1, A, 03 represents a box shaped area in the chart above). Q Loss. R. N. H. s C Luss: P1. c. N. s Q none 01 me mm 0 Loss. R. N. c P2 c ms;R.N.Gc.EI Question 5 Price ($) MC ATC MR3 AVC - MR z - MR , Quantity Question 5: In the short run, should this firm continue to produce? Explain O IN the short run the firm will stay in business because it is covering all of its variable cost and a portion of its fixed costs O No the firm should shut down because it is incurring losses O None of the above ( Yes, the firm stays in business in the short run because it covers all its fixed costs and only a portion of its variable costs Question 6 Price ($) Question 6: If the firm's demand curve is MR3, what is the firm's output level? O Q O none of the above O Qa O QT O QD O QbQuestion 7 Price ($) MC m ATC MR3 i AVC . MR. - MR, - Quantity Question 7: Identify the area that represents total revenue (in the same way you identified areas of boxes in the prior questions) O P3, T. QT. 0 O R, U, Qt, 0 O R, D, Qd, 0 O none of the above O P3, T, QT, Qa Question 8 Price ($) MC m ATC MR3 AVC -MR -MR, - Quantity Question 8: Identify the area that represents the total cost of producing this output level. O R, U, Qt. 0 O none of the above O R. D. LO O 0, Qd, D. LQuestion 9 Price ($) MG ATC - MP3 AVC MRz -MR, Quantity Question 9: Identify the area that represents the firm's profit/loss at MR3 O Profits: P3. T, Qt. 0 O Profits: P3. T, U. R O Profits : R. D. Qd, 0 O none of the above Question 10 Price ($) MC ATC -MR3 AVC . MR2 - MR . Quantity Question 10: Identify the firm's short run supply curve: O MC curve above Point D O none of the above O MC curve above point B O MC curve above Point /Question 11 Price ($) MC ATC MRg FEFEE AVC -MR, Quantity Question 11: If the cost curves do not change, what is the long run equilibrium price? O Price will be at P3 O Price will sit at price "J" or point "b", min AVC O Price will sit at point L, or point "d', where price - min ATC O none of the above Question 12 Price ($) MG ATC - MR3 AVC -MR2 - Quantity Question L: If the cost curves do not change, what is the long run equilibrium quantity? O Qd 0 0 O Qa O QT O QC O OF