Page 1 - H. A Producer's equilibrium
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SAI INTERNATIONAL SCHOOL


                                                 ECONOMICS



                                           HOME ASSIGNMENT


                                              Micro Economics



                                                      Class-XI


                                    Topic: - PRODUCER’S EQUILIBRIUM


                              Very short answer type questions              Marks


                 1.            The earning of a producer is called                      1
                            a.  Rent
                            b.  Interest
                            c.  Profit
                            d.  Wages
                 2.            Producer is in equilibrium, when                         1
                               a.MC =MR
                               b. MC> MR  after equilibrium
                               c. Both a&b
                               d. Neither a nor b
                 3.     MC is greater than MR at a particular level                     1

                        of output, then producer
                            a.  May increase or decrease the level
                               of output depending upon the
                               situation
                            b.  Will increase output
                            c.  Will decrease output
                            d.   None of the these
                 4.     In case of perfect competition , a firm is in                   1

                        equilibrium when
                            a.  MC=MR
                            b.   MC cuts MR from below
                            c.   MC is rising when it cuts MR
                            d.  All of these
                 5.     Profit is a residual income .       (true /                     1

                        false)
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