True or False (O or X)

(          ) 1. Opportunity cost is

included in the accounting cost.

(          ) 2. Marginal Cost(MC) and Average Cost(AC) meet at the lowest MC.

(          ) 3. Economies of Scope decreases production cost by increasing production.

(          ) 4. Economies of Scale is the case for decreasing Long-Run Average Cost.

(          ) 5. Production Function’s Independent Variable is the Output.

(          ) 6. Profit Function’s Independent Variable is the Output.

(          ) 7. Cost Function’s Independent Variable is the Output.

(          ) 8. Cost Equation’s Independent Variable is the Output.

(          ) 9. Marginal Revenue is the Price in all cases.

(          ) 10. Firm’s Supply Curve is the average Cost Curve.

(          ) 11. Consumer Surplus is a surplus vale of buying less than market price.

(          ) 12. Producer Surplus is a surplus value of selling higher than market price.

(          ) 13. De Bears Diamonds Co. is the Natural Monopoly.

(          ) 14. Copy right are the Natural Monopoly.

(          ) 15. Water supply is the Natural Monopoly.

(          ) 16. Monopoly Price is the same level where MR meets MC.

(          ) 17. Monopoly Demand is the Average Revenue.

(          ) 18. Airline Ticket is the Peak-Load Pricing.

(          ) 19. Electricity is the Intertemporal Pricing.

(          ) 20. Amusement Park fees are the Two-Parts Tariffs.

(          ) 21. Oligopoly Price is the same level where MR and MC meet.

(          ) 22. Oligopoly Price is the same level where MR and MC meet.

(          ) 23. Reaction Curve is the producer’s production reaction to consumption.

(          ) 24. Dominant Strategy Game is a game where one side considers other side.

(          ) 25. Monopolistic Competition is where few sellers compete with same output.

(          ) 26. Demand for labor is a Derived Demand.

(          ) 27. As Bond Price increases, Bond Yield increases.

(          ) 28. Agents have less information than principal.

(          ) 29. Externalities are not good always to market economy.