Answer Happy

A. Answer the following:
11. Lola starts a consulting business for companies. She makes
all the business decisions and bears the risk of running the
business. Lola expects to receive: __________________.
a. An income greater than your opportunity cost
b. A utility or economic benefit
c. A normal profit or profit
d. An income greater than the capital investment
12.
13. When a firm experiences diseconomies of scale, its
__________________________ curve slopes
_____________________________.
a. long-run average cost; positive
b. long-run average cost; negative
c. short-run marginal cost; negative
d. short-run average total cost; negative.
14. A company experiences _______________ when its
__________________ is reduced to larger products.
a. economy of scale; slopes of the average total cost curve
b. economy of scale; slopes of the long-run average cost
curve
c. diminishing marginal returns; shifts in the average total cost
curve
d. diminishing marginal returns; slopes of the long-run average
cost curve
15. Capital labor product
Job Capital 1 1 Product 20 45 60 2 3 4 65
Job Capital 1 1 Product 20 45 60 2 3 4 65