The dollar value of a firm's return in excess of its opportunity costs is called its

A) profitability measure.
B) excess return.
C) economic value added.
D) prospective capacity.
E) return margin.

Personal productivity will often be lowered by enabling beeps and alerts that float on your screen to announce the arrival of e-mails or the fact that somebody in your Skype network is now online.

An advantage of the FIFO method is that:

A) the figure for ending inventory is made up of current costs on the income statement.
B) the cost flow tends to follow the physical flow.
C) it matches current selling prices and current costs.
D) Both A and B are correct.

When suppliers of a good that can be easily stored expect its price to increase in future,they will reduce its current supply.

If Nation A requires more resources to produce each bale of cloth than Nation B does, then we say that

A) Nation A has the absolute advantage over Nation B in producing cloth.
B) Nation B has the absolute advantage over Nation A in producing cloth.
C) Nation A has the comparative advantage over Nation B in producing cloth.
D) Nation B has the comparative advantage over Nation A in producing cloth.

In the short run,the average total cost curve reaches its minimum point at a lower level of output than the short-run marginal cost curve reaches its minimum.