Question : A dealer marks an article 60% above the cost price and sells it to a customer allowing two successive discounts of 10% and 20% on the marked price. If he gains INR 1,064 in the transaction, the cost price (in INR) of the article is:

Option 1: 8400

Option 2: 7000

Option 3: 6300

Option 4: 7200

Question : If a firm is operating at a loss in the short period in perfect combination, it should:

Option 1: decrease the production and price

Option 2: increase the production and price

Option 3: continue to operate as long as it covers even the variable costs

Option 4: shut down and leave the industry

Question : A rising per capita income will indicate better welfare if it is accompanied by:

Option 1: unchanged income distribution overall

Option 2: changed income distribution in favour of the rich

Option 3: changed income distribution in favour of the poor

Option 4: changed income distribution in favour of industrial labour

Question : Which total cost is highlighted in the given statement?
Statement: It does not vary directly with level of output like rent or insurance.
 

Option 1: Fixed cost

Option 2: Variable cost

Option 3: Semi variable cost

Option 4: None of the above

Question : Which of the following statements is correct regarding the production possibility frontier?

I. It gives the combinations between two goods that can be produced when the resources of the economy are fully utilised.

II. It illustrates the production possibilities of the economy.

Option 1: Only I

Option 2: Only II

Option 3: Both I and II

Option 4: Neither I nor II