1. Which of the following forms of payment is not an incentive plan?
A. Commission plans for salesman B. Flat salary for a plant manager
C. Bounses for managers that increase as profits increase D. None of the above
2. When relationship-specific exchange occurs in complex contractural environments, the best way to purchase inputs is through:
A. Spot markets B. Vertical integration
C. Short-term agency agreements D. Long-term contracts
3. Suppose compensation is given by W = 512,000 + 217X(Profits)+ 10.08S, where W = total compensation of the CEO, X = company profits (in millions) = $200, and S = Sales (in millions) = $400. What percentage of the CEO's total earnings are tied to profits of the firm.
A. 8.2% B. 10.9% C. 7.8% D. 5.1%
4. Long-term contracts are not efficient if:
5. The solutions to the principal-agent problem ensures that the firm is operating
A. On the production function B. Above the production function
C. Below the production function D. Above the isoquant curve
6. Spot exchange typically involves
A. No transaction costs B. Some transaction costs
C. Extremely high transaction costs D. Long-term contracts
7. Given that the income of franchise restaurant managers is directly tied to profits and the income of the manager of the company owned restaurant is paid a flat fee, we might expect profits to be
A. Higher in company-owned restaurants B. Lower in company-owned restaurants
C. Equal in both types of restaurants D. None of the above
8. Which of the following is the primary disadvantage of producing inputs within a firm?
A. Increases in transaction costs B. Loss of specialization
C. Reductions in opportunism D. Mitigation of hold-up problems
9. A firms average cost is $20 and it charges a price of $20. The Lerner index for this firm is:
A. .20 B. .50 C. .33 D. Insufficient information
10. The concentration and Herfindahl indices computed by the US Bureau of Census must be interpreted with caution because:
A. They overstate the actual level of concentration in markets served by foreign firms.
B. They undersate the degree of concentration in local markets, such as the gas market.
C. All of the above.
D. None of the above.
11. Suppose that there are 2 industries, A and B. There are five firms in industry A with sales at $5 million, $2 million, $1 million, $ 1 million, and $1 million, respectively. There are 4- firms in industry B with equal sales of $2.5 million for each firm. The HHI for industry A is:
A. 3200 B. 2800 C. 1800 D. 2500
12. As a general rule of thumb, industries with a Herfindahl index below are considered to be competitive, while those above are considered non-competitive.
A. 1000, 1800 B. 1800, 1000 C. 1000, 3000 D. 1800, 3000
13. Which of the following measures market structure?
A. Four-firm concentration ratio B. Lerner index
C. Herfindahl-Hirshman index D. All of the above may be used to make inferences about market structures
14. Which of the following integration types exploits economies of scope?
A. Vertical integration B. Horizontal integration C. Cointegration D. Conglomerate integration
15. Which of the following may transform an industry from oligopoly to monopolistic competition?
A. Entry B. Takeover C. Exit D. Acquisition
16. Which market structure has the most market power?
17. You are the manager of a firm that produces output in 2 plants. The demand for your firm's product is P = 78 - 15Q, where Q = Q1 + Q2. The marginal cost associated with producing in 2 plants are MC 1= 3Q 1 and MC 2 = 2Q 2. What price should be charged to maximize profits?
A. 20.5 B. 40.5 C. 60.5 D. 80.5
18. Which of the following is true?
A. A monopolist produces on the inelastic portion of its demand.
B. A monopolist always earns an economic profit.
C. The more inelastic the demand, the closer marginal revenue is to price.
D. In the short run a monopoly will shutdown if P < AVC.
19. You are the manager of a monopoly that faces a demand curve described by P = 63 - 5Q. Your costs are C = 10 + 3Q. Your firm's maximum profits are
A. 0 B. 66 C. 120 D. 170
20. If a monopolistically competitive firm's marginal cost increases, then in order to maximize profits the firm will:
A. Reduce output and increase price B. Increase output and decrease price
C. Increase both output and price D. Reduce both output and price
21. Suppose that initially the price is $50 in a perfectly competitive market. Firms are making zero economic profits. Then the market demand shrinks permanently and some firms leave the industry and the industry returns back to a long run equilibrium. What will be the new equilibrium price, assuming cost conditions in the industry remain constant?
A. $50 B. $45
C. Lower than $50 but exact value cannot be known without more information.
D. Larger than $45 buy exact value cannot be known without more information.
22. A monoploy has 2 production plants with cost functions C 1 =50 +0.1Q1(squared) and C 2 =30+0.05Q The demand it faces is Q=500-10P. What is the condition for profit maximization?
A. MC 1 (Q1 ) = MC 2 (Q2 ) = P (Q 1 + Q 2 )
B. MC 1 (Q1 ) = MC 2 (Q2) =MR (Q 1 + Q 2)
C. MC 1 (Q1 + Q 2) = MC 2 (Q1 + Q2) = P ( Q1+ Q 2)
D. MC 1 (Q 1+ Q 2) = MC 2 (Q 1+Q 2) = MR (Q1 + Q 2)
23. You are a manager in a perfectly competitive market. The price in your market is $14. Your total cost curve is C(Q) = 10 + 4Q + 0.5 Q(squared). What level of profits will you make in the short-run?
A. $20 B. $40 C. $60 D. $80
24. You are a manager for a monopolistically competitive firm. From experience, the profit- maximizing level of output of your firm is 100 units. However, it is expected that prices of other close substitutes will fall in the near future. How should you adjust your level of production in response to this change?
A. Produce more than 100 units. B. Produces less than 100 units.
C. Produce 100 units. D. Insufficient information to decide
25. Which of the following is true?
A. In Bertrand oligopoly each firm believes that their rivals will hold their output constant if it changes its output
B. In Cournot oligopoly firms produce an identical product at a constant marginal cost and engage in price competition
C. In oligopoly a change in marginal cost never has an affect on output or price
D. None of the above are true
26. Two firms compete in a Stackelberg fashion and firm 2 is the leader, then
A. Firm 1 views the output of firm 2 as given
B. Firm 2 views the output of firm 1 as given
C. All of the above
D. None of the above
27. A firms isoprofit curve is defined as:
A. The combinations of outputs produced by a firm that earns it the same level of profits
B. The combinations of outputs produced by all firms that yield the firm the same level of profit.
C. The combinations of outputs produced by all firms that makes total industry profits constant
D. None of the above
28.Two firms compete as a Stackelberg duopoly. The demand they face is P = 100 - 3Q. The cost function for each firm is C(Q) = 4Q. The outputs of the 2 firms are:
A. Q(L=leader) = 16; Q(F=follower) = 8
B. Q L = 24; Q F = 12
C. Q L = 12; Q F = 8
D. Q L = 20; Q F = 15
29. The spirit of equating marginal cost with marginal revenue is not held by:
A. Perfectly competitive firms B. Oligopolistic firms
C. Both A and B D. None of the above
30. Which would expect to make the highest profits, other things equal:
A. Bertrand oligopolist B. Cournot oligopolist C. Stackelberg leader D. Stackelberg follower
31. The inverse demand in a Cournot duopoly is P = a - b (Q 1 + Q 2), and costs are C1 (Q1 ) = c 1 Q 1, and C 2 (Q2) = c 2 Q 2 . The Government has imposed a per unit tax of $t on each unit sold by each firm. The tax revenue is:
A. t times the total output of the 2 firms should there be no sales tax
B. Less than t times the total output of the 2 firms should there be no sales tax
C. Greater than t times the total output of the 2 firms should there be no sales tax
D. None of the above
32. A new firm enters a market which is initially serviced by a Cournot duopoly charging a price of $20. What will the new market price be should the 3 firms co-exist after the entry?
A. $20 B. Below $20 C. Above $20 D. None of the above
33. An important condition for a contestable market is:
A. All producers have different technologies
B. There are high transaction costs.
C. Existing firms cannot respond quickly to entry by lowering their price
D. There are sunk costs
Amino acids multiple choice questions
Which statement is incorrect about the classification of amino acids?
a. Alanine and valine are neutral, nonpolar amino acids.
b. Lysine and arginine are basic amino acids.
c. Tryptophan and phenylalanine are aromatic amino acids.
d. Aspartic acid and aspargine are acidic amino acids.
Which of the following amino acids is the least water soluble at pH 7.0?
b. Glutamic acid
Which amino acid would migrate the furthest toward the anode (positive electrode) during paper electrophoresis at pH 7.0?
a. Aspartic acid
Which of the following functional groups, attached to an inert matrix, could function as a cation exchanger?
Which of the following amino acids would make the best buffer at pH 4.5?
d. Aspartic acid
Which fact is incorrect about stereoisomers?
a. A diastereomer is a nonsuperimposable non-mirror image.
b. An enantiomer is a nonsuperimposible mirror image.
c. Diastereomers have different melting points.
d. Diastereomers rotate plane polarized light in equal but opposite direction.
Which statement is incorrect about L-isoleucine?
a. Its enantiomer is named O-isoleucine.
b. It contains a total of two asymmetric or chiral carbons.
c. It can also be named as (28, 38)-isoleucine using the (R,8) system.
d. Its diastereomer would be named O-alloisoleucine.
An isoelectric amino acid was dissolved in water and the resulting pH was approximately 7.6. What amino acid would possess this property?
b. Glutamic acid
What volume of NaOH is required to adjust the solution of monosodium aspartate to pH 9.8?
a. 1 ml
b. 2 ml
c. 3 ml
d. 6 ml or more
What volume of 2 N Hel is required to completely titrate the 4 mmol of monosodium aspartate?
a. 2 ml
d. 6 ml or more
Which statement is correct about the peptide ala-ser?
a. Alanine is at the N-terminal of the peptide.
b. There are a total six atoms that lie in the plane of the peptide bond linking alanine to serine.
c. The alpha-carbon of alanine is sp3 hybridized d All the above are correct statements.
What is the product formed from the acid hydrolysis of a simple amide?
a. Acid & base
b. Aldehyde & alcohol
c. Acid & amine
d. Ester & alcohol
The complete acid hydrolysis of the peptide ala-gln-trp-ser would yield:
a. Ala, gin, trp, ser
b. Ala, glu, ser
c. Ala, glu, trp, ser
d. Ala. ser
Fibrous proteins, such as collagen, have which of the following properties?
a. Highly soluble in water
b. Their hydrophilic residues are directed into the interior of the protein
c. Exhibit enzymatic activity
d. Serve structural roles in the cell
Quaternary structure is associated with:
a. The overall shape of a polypeptide chain
b. The sum of the secondary and tertiary interactions
c. Simple proteins with only one subunit
d. The relative orientation of one polypeptide to another polypeptide in a multi-subunit protein.
The information needed to define the structure of a protein is essentially contained in:
a. Amino acid composition
b. Amino acid sequence
c. Secondary structure
d. Tertiary structure.
Insulin is a polypeptide hormone that contains two short polypeptide chains linked by two interstrand disulfide bonds. The most logical order of events to perform in order to sequence this protein would be:
A: The peptides are reduced with mercaptoethanol.
B: The peptides are sequenced using Edman chemistry .
C: The peptides are separated by chromatography techniques. 0: The peptides are alkylated with iodoacetamide.
a. A, D,C, B b.C,A, 0, B
c. C, B, A, 0
d. A, B, C, 0
Which statement is incorrect about the peptide val-asp-trp-asn-ser?
a. This peptide would show a strong absorption band at 280 nm.
b. Reaction with chymotrypsin would yield two peptides.
c. To synthesize this peptide using the solid phase method of Merrifield, the amino acid directly attached to the resin would be serine.
d. After the second round of Edman chemistry using the reagent PITC, the PTH -amino acid residue released would be PTH-asn.
Which statement is incorrect about the reaction of the peptide ser-Iys-asp-trp-cys-metasn-phe-ala with the following reagents?
a. Reaction with cyanogens bromide would yield two peptides.
b. Reaction with trypsin would result in three peptides. The smallest of three peptides would have the highest pi of the three.
c. Reaciton with chymotrypsin would result in the peptides ser-Iys-asp & try-cys-met-Iysasn-phe-ala .
d. Reaction with chymotrypsin would yield a different set of peptides that overlap those obtained with tryspsin
Determine the amino acid sequence of the following oligopeptide from the experimental data below:
The amino acid composition is found the be ala, Iys, phe, met, cys plus some
2. The peptide has a molecular weight around 700 Da and absorbs at 280 nm.
3. Treatment with carboxypeptidase results in tryptophan and a peptide.
4. CNBr treatment yields a tetrapeptide and a dipeptide.
5. Trypsine digestion produces an amino acid and a pentapeptide with met on the amino end.
6. Chymotrypsin digestion yields a dipeptide and a tetrapeptide.
d. Iys-ala-cys-phe-met -trp