Q.21)-The remuneration of the enterpreneur in production is-
  • Pure profit
  • Gross profit
  • Net profit
  • Super-normal profit
Q.22)-The basic objective of all production is to-
  • Satisfy human wants
  • Provide employment
  • Make profits
  • Increase physical output
Q.23)-Third stage of law of Variable proporation is called-
  • Negative returns
  • Positive returns
  • Constant returns
  • Increasing returns
Q.24)-Minimum payment to factor of production is called-
  • Quasi Rent
  • Rent
  • Wages
  • Transfer payment
Q.25)-Returns to scale is a-
  • Timeless phenomenon
  • Directionless phenomenon
  • Short run phenomenon
  • Long run phenomenon
Q.26)-Consumer gets maximum satisfaction at the point where-
  • Marginal Utility = Price
  • Marginal Utility > Price
  • Marginal Utility < Price
  • Marginal Cost = Price
Q.27)-Production refers to-
  • Destruction of utility
  • Creation of utilities
  • Exchange value
  • Use of a product
Q.28)-The law of diminishing returns applies to-
  • All sectors
  • Industrial sector
  • Agriculture sector
  • Service sector
Q.29)-The study of factor pricing is alternatively called the theory of-
  • Functional distribution
  • Personal distribution
  • Income distribution
  • Wealth distribution
Q.30)-The internal rate of return-
  • Must be less than the interest rate if the firm is to invest
  • Makes the present value of profits equal to the present value of costs
  • Falls as the annual yield of an investment rises
  • Is equal to the market interest rate for all the firm is investment