- Question 1
Answer briefly each of the following questions (i) to (x): 10 × 2 = 20 (i) Define marginal utility. When can it be negative? (ii) What is meant by production function? (iii) Name the market where average revenue is equal to marginal revenue. Give a reason for your answer. (iv) Give one difference between accounting cost and opportunity cost. (v) What is the reason for an in determinate demand curve under Oligopoly? (vi) What is meant by propensity to consume? (vii) Explain discounting bills of exchange as one of the function of the banks. (viii) Differentiate between revaluation of currency and appreciation of currency. (ix) How can gross domestic product at factor cost be obtained from gross national product at market price? (x) What is meant by revenue deficit? Explain its implication.