Topic: Managerial Economics.

Clear Formatting

QUESTION ONE: (a) "Economics studies human behavior as a relationship between ends and scarce means which have alternative uses."Discuss (5 marks) (b) When does competition become imperfect in a market ? (5 marks) (c) Discuss the main attributes of a production function (5 marks) (d) i. In your view how significant is profit maximization hypothesis to firms (5 marks) ii. Cost concepts and analysis have a wide range of application for managerial uses".Discuss the relevance of this statement in the context of the firm of your choice (5 marks) (e) Examine the law of diminishing returns in decision making by the management and point out its underlying assumptions