Profit — Unit test Answers

Which best describes the relationship between consumers and producers?

elasticityqualitytimequantity

The graph shows a point of equilibrium.If quantity demanded exceeds quantity supplied, what most likely needs to happen to achieve equilibrium?

The chart shows the marginal cost and marginal revenue of producing apple pies.What most likely will happen if the pie maker bakes a seventh pie?

What does elasticity measure in economics?

The graph is a marginal cost curve that compares expenses for producing apple pies.According to the graph, the marginal cost begins to increase when the producer makes

increasesdecreasesstays the same

The graph shows a supply curve.Which events could cause the change in supply shown on this graph? Check all that apply.A producer goes out of business.A natural disaster causes production to drop.A new company joins the marketplace.A company begins to produce more goods.A resource needed to produce more of the good has became scarce.

The chart shows the marginal cost and marginal revenue of producing apple pies. What most likely will happen if the pie maker continues to make additional pies?

Which is the best title for this diagram?

Motherboards, Inc., manufactures computer parts. The company’s total revenue is

Producers hoping to earn profits supply goods and services to

Which statements correctly explain price floors and price ceilings? Choose four answers.Ineffective price floors tend to be too high.Ineffective price ceilings tend to be too low.Price floors help producers by raising prices.Price ceilings help consumers by lowering prices.Effective price floors are set above equilibrium.Effective price ceilings are set below equilibrium.

A chart that shows the connection between consumer demand and price is a

A possible result of disequilibrium is