Tag: laws of returns - returns to a factor and returns to scale

Questions Related to laws of returns - returns to a factor and returns to scale

Direct costs are _______________.

economics production and costs return to scale and cobb douglas function total product, average product and marginal product laws of returns - returns to a factor and returns to scale

  1. Traceable costs

  2. Indirect costs

  3. Implicit costa

  4. Explicit costs

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Correct Option: A

Returns to scale have been classified as constant, increasing and decreasing depending upon the __________________.

economics production and costs return to scale and cobb douglas function total product, average product and marginal product laws of returns - returns to a factor and returns to scale

  1. inputs required to produce a given level of output

  2. amount of output produced out of a given amount of inputs

  3. response of output to a change in scale

  4. all of the above

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Correct Option: D

In electricity generation plants, when the plant grows too large risks of plant failure with regard to output increase disproportionately. Hence we are talking about which concept of returns to scale?

economics production and costs return to scale and cobb douglas function total product, average product and marginal product laws of returns - returns to a factor and returns to scale

  1. Constant Returns to Scale

  2. Increasing Returns to Scale

  3. Decreasing Returns to Scale

  4. Balanced Returns to Scale

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Correct Option: C

______ involves application of planning, organizing, directing and controlling the production process.

organisation of commerce and management laws of returns - returns to a factor and returns to scale definition and functions of production department production or works department ideologies/concepts/views of marketing management

  1. Purchases Management

  2. Human Resource Management

  3. Corporate Management

  4. Production Management

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Correct Option: D

The area of actual or potential commercial value in which a company intends to operate is a ___________.

organisation of commerce and management laws of returns - returns to a factor and returns to scale definition and functions of production department production or works department ideologies/concepts/views of marketing management

  1. market space

  2. market place

  3. perfect market

  4. Bertrand market

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Correct Option: A

Which of the following is not an assumption in Miller and Modigliani approach?

organisation of commerce and management laws of returns - returns to a factor and returns to scale definition and functions of production department production or works department ideologies/concepts/views of marketing management

  1. There are no corporate or personal income tax

  2. Investors are assumed to be rational and behave accordingly

  3. There is no corporate tax though there are personal income tax

  4. Capital markets are perfect

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Correct Option: D

Markets which deal with buying and selling of bonds, mortgages, notes and stocks are considered as ____________________.

organisation of commerce and management laws of returns - returns to a factor and returns to scale definition and functions of production department production or works department ideologies/concepts/views of marketing management

  1. financial instruments

  2. financial asset markets

  3. physical asset markets

  4. easy markets

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Correct Option: C

The main purpose of market segmentation is?

organisation of commerce and management laws of returns - returns to a factor and returns to scale definition and functions of production department production or works department ideologies/concepts/views of marketing management

  1. To measure the changing behavioral pattern of consumers

  2. To select the proper channel of distribution

  3. To have individuality of its own

  4. To identify the level of demand

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Correct Option: A

Benefits of segmentation.
I. This saves resources
II. Consumers are satisfied
III. Concentrated marketing strategy
IV. Easy to introduce new products
Which of the above points are correct?

organisation of commerce and management laws of returns - returns to a factor and returns to scale definition and functions of production department production or works department ideologies/concepts/views of marketing management

  1. I and II are correct

  2. I, II and IV are correct

  3. I, II and III are correct

  4. All are correct

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Correct Option: D