64) Moving from left to right, a U-shaped curve starts with a
A) positive slope, reaches a maximum, then ends with a negative slope.
B) positive slope, reaches a minimum, then ends with a negative slope.
C) negative slope, reaches a maximum, then ends with a positive slope.
D) negative slope, reaches a minimum, then ends with a positive slope.
E) negative slope, reaches a minimum, then ends with a negative slope.
Skill: Level 2: Using deinitions
Section: Chapter 1 Appendix – Checkpoint 2
Status: Old
AACSB: Analytical thinking
65) The minimum point of a U-shaped curve
A) is a point where the variable is neither increasing nor decreasing.
B) has a slope equal to zero.
C) has the maximum slope possible.
D) Both answers A and B are correct.
E) Both answers A and C are correct.
Skill: Level 1: Deinition
Section: Chapter 1 Appendix – Checkpoint 2
Status: Old
AACSB: Analytical thinking
66) An economist observed that as more computers are added to a factory, the costs of
production initially decline, reach a minimum, and then rise. In a diagram that has costs on
the vertical axis and the number of computers on the horizontal axis, the relationship
always is
A) negative and then linear after the minimum point.
B) positive and then negative after the minimum point.
C) negative and then positive after the minimum point.
D) linear and then positive after the minimum point.
E) negative both before and after the minimum point.
Skill: Level 3: Using models
Section: Chapter 1 Appendix – Checkpoint 2
Status: Old
AACSB: Analytical thinking
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