Scribd
Upload
18 views2 pages

Cost

The document is an examination paper for Class 11 Economics with a total of 20 marks and a time limit of 40 minutes. It includes various types of questions such as multiple choice, true/false, fill in the blanks, and calculations related to average cost, marginal cost, and total cost. The questions assess understanding of key economic concepts and their relationships.

Uploaded by

Economics 11th
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
18 views2 pages

Cost

The document is an examination paper for Class 11 Economics with a total of 20 marks and a time limit of 40 minutes. It includes various types of questions such as multiple choice, true/false, fill in the blanks, and calculations related to average cost, marginal cost, and total cost. The questions assess understanding of key economic concepts and their relationships.

Uploaded by

Economics 11th
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 2

B U ACADEMY

COST
Class 11 - Economics
Time Allowed: 40 minutes Maximum Marks: 20
General Instructions:

Attempt all the questions carefully.

1. Can the AC be less than the MC when AC is falling [1]

a) None of these b) Can’t say

c) No d) Yes
2. When average cost (AC) is falling: [1]

a) none of these b) MC > AC

c) MC < AC d) MC = AC
3. Assertion (A): When Average Cost is constant, AC curve is at its minimum point. [1]
Reason (R): At this point, MC curve cuts AC curve which implies MC = AC.

a) Both A and R are true and R is the b) Both A and R are true but R is not the
correct explanation of A. correct explanation of A.

c) A is true but R is false. d) A is false but R is true.


4. State true or false: [1]
Even when marginal cost is rising, the average variable cost may fall.
5. Fill in the blanks: [1]
Marginal cost may be rising even when the average cost is ________. (rising/falling)
6. Identify the correct sequence of alternatives given in Column II by matching them with [1]
respective items in Column I:

Column I Column II

(a) Change in total cost when an additional unit of output is


(i) Total cost
produced

(ii) Marginal cost (b) Vertical summation of AFC and AVC curves

(iii) Fixed cost (c) Explicit cost + Implicit cost

(iv) Short period AC


(d) TC increases at a diminishing rate
curve

(v) Diminishing MC (e) Does not change with increase or decrease in output

7. At what level of production is total cost equal to total fixed cost? [1]
8. Can MC increase when AC falls? [3]

1/2
Udit Wadhwa
9. What is Average Fixed Cost? Can it touch X-axis? [4]
10. Calculate TC and AVC of a firm at each given level of output from its cost schedule. [6]

Output (Units) 1 2 3 4 5 6

AFC 60 30 20 15 12 10

MC (₹) 32 30 28 30 35 43

2/2
Udit Wadhwa

You might also like