21. In the long-run. A firm must shut down if its average revenue is
(a) Greater than average cost
(b) Less than average variable cost
(c) Equal to the minimum average cost
(d) Equal to the average cost.
22. Public limited liability companies are democratic in nature because
(a) Government appointees are members of the board
(b) They are run by elected public officers
(c) Electoral principles are adopted in the day-to-day management
(d) Shareholders elect the board of directors.
23. In the event of bankruptcy, owners of joint-stock companies lose
(a) Their private properties
(b) Both company and private assets
(c) Only the capital invested
(d) Only their dividends.
24. Wholesalers play an important role in the distribution of goods and services because they
(a) Are located very close to consumers
(b) Finance both producers and retailers
(c) Pass information on from retailers to consumers
(d) Sell in small units to consumers.
25. If workers at the school canteen cannot sell during the holidays, this is an example of
(a) Structural unemployment
(b) Frictional unemployment
(c) Seasonal unemployment
(d) Residual unemployment.
