Principles of Economics Renato A Adriano III

PRE FINALS 2019-2020

GUIDELINES: A “No Permit No Exam Policy” shall be strictly implemented. No student is

allowed to go out of the classroom. Examinee is advised to approach the proctor silently.
Do not start while you are not told to do so. All answers must be written legibly. If
finished pass your test paper with the test booklet to the proctor and silently go out of
the classroom. You will receive back your test booklet a week after the scheduled
examination.

PRELIMINARIES: On this term the students will be assessed on what they

have learned about they learned about market structures, consumer
behaviour and National Output and Income.

NAME:________________________________________Date:____________________

PART I MULTIPLE CHOICE

Encircle the correct answer

1. A place where Buyers and sellers meet

a. Market
b. supply
c. Demand Elasticity
d. none

2. Composed of different firms that sell similar products of varying

qualities.

a. Price Elasticity
b. Original price
c. Market structure
d. None

3. Is a market structure where there are many buyers and sellers

a. Imperfect Competition
b. Pure Competition
c. Unitary Demand
d. None

4. This refers to a certain market competition where no participants

in the market can influence prices

a. imperfect competition
b. normal competition
c. perfect Competition
d. none

5. This refers to a certain market competition where firm and

participants in the market can influence prices
a. imperfect competition
b. inelastic demand
c. normal competition
d. perfect competition

6. Which of the following does not belong to the group

a. monopoly
b. oligopoly
c. pure competition
d. Inelastic

7. Represents one seller for the whole industry.

a. Perfectly elastic demand

b. Perfectly inelastic demand
c. None
d. oligopoly

8.Another term used to described a monopolist.

a. Money maker
b. Price maker
c. Elastic maker
d. Both a and c

9. This refers to the determination of the responsiveness of demand to

a change in a consumer income.

a. Income of Elasticity Demand

b. Income Demand
c. Elastic Supply
d. None

10. This refers on how producers behave in market.

a. Production Demand
b. Production Theory
c. Elastic Supply
d. Cross Elasticity demand

11.This refers to the transformation of resources into products and

services .

a. Production
b. manufacturing
c. Perfectly Elastic Supply
d. Unitary Supply

12.Refers to the greatest output can be given an exact number of

outputs.

a. Elastic Supply
b. Inelastic Supply
c. Production Function
d. Unitary Supply

13. A change in price results to equal change in quantity supplied.

a. Elastic Supply
b. Inelastic Supply
c. Perfectly Elastic Supply
 d. Unitary Supply

14. Without change in price, there is an infinite change in quantity

supplied.

a. Elastic Supply
b. Inelastic Supply
c. Perfectly Elastic Supply
d. Unitary Supply

15. A change in price has no effect on quantity supplied.

a. Inelastic Supply
b. Unitary Supply
c. Perfectly inelastic supply
d. None

PART II ENUMERATION

A. What are the two kinds of inputs ?

16.

17.

What are the two terms used to determine production efficiency?

18.

19.

Give the two types of intensives in Businesses?

20.

21.

B. What are the determining factors of demand schedule of various

quantities of commodities which buyers are willing and able to
purchase at a given price, time and place.

22.

23.

24.

25.

26.

PART III Definition and Application

27-28 Define capital Intensive Business

29-30 Give at least one example of Business that can be considered as

Capital intensive Business

31-32 Define Labor Intensive Business

33-34 Give at least example of Business that can be considered as

Labor intensive Business
PART IV TRUE OR FALSE write True of the statement is correct and write
False if the statement is wrong.
____________ 35. Business is more operated with labor example of this
is an automated vending machine.

____________ 36. Capital Intensive Business is the capital input is

greater than the labor input

____________ 37. Capital Intensive Business is the capital input is

lesser than the labor input

____________ 38. In Labor Intensive Business the Business is operated

more with Labor

____________ 39. An example of Labor Intensive Business is Farming

because it needs a man-hours in preparing the Land

____________ 40. Since farming used machine/eqiupement therefore in

can be considered as Capital Intensive Business.

_____________ 41. Since Farming cannot be achieved without farmers who

use the machinery/equipment then it is considered as labor intensive.

_____________ 42.The Labor input only happens when the machine needs
refilling and or maintenance therefore the act is considered as Labor
intensive Business.”

_____________ 43. In Labor intensive Capital the machine can function

without human intervention.

_____________ 44. The two term used to determine production efficiency

is Isocost and Isoquants.

_____________ 45. Costs Refer to actual and real expenses

______________46. Cost is the amount receive by selling goods and
service.
______________47. By adding Fixed cost and variable costs we get the
total cost

_____________ 48. The Lowest point of the average cost curves indicate
the best quantity output

_____________ 49.Profit is maximized when marginal revenue, marginal

cost and price are all equal

PART V MATCHING TYPE

________50. Perfectly Elastic Demand a. (EP = ∞)

________51. Perfectly Inelastic Demand b. (EP = 0)

________52. Relatively Elastic Demand c. (EP> 1)

________53. Relatively Inelastic Demand d. (Ep< 1)

________54. Unitary Elastic Demand e. (Ep = 1)

 ________55.Revenue f.amount of money receive
from selling goods
and services

________56. Cost g. actual or real expenses

________57. Break-even point h. the gain is equal to the

cost incurred

________58.GDP i. Gross National Product

________ 59. GNP j. Gross domestic product

________60. Macroeconomics h. deals with the aggregate in

measuring economic activities

PART VI DEFINITION AND APPLICATION

61-65: Define the Macroeconomics and give example

66-70: What is the difference between GDP and GNP and give an example

***Nothing follows***

Prepared by: Checked by: Verified by: Approved by:

Renato A. Adriano III Renato A. Adriano III Prof.Jose Van Galvo Carmelo D. Carcido
Teacher Academic Coordinator School Director Headmaster