List of top Commerce Questions on Microeconomics

Which of the following are the determinants for the price elasticity of demand?
(A) Availability of close substitutes
(B) Necessities versus Luxuries
(C) Definition of the market
(D) Time Horizon

It is said to be economies of scale when:

A firm's long-run decision to enter in or exit from a market depends upon the firm's ability to manage total revenue (TR), total cost (TC), quantity produced (Q), average total cost (ATC) and price of the goods (P). Which among the following is best suited for an entrepreneur interested to enter in a market?

For a certain establishment, the total revenue function $R$ and the total cost function $C$ are given by \[ R = 83x - 4x^2 - 21 \quad \text{and} \quad C = x^2 - 12x + 48x + 11, \] where $x$ is the output. Obtain the output for which profit is maximum.