Grade Booster student workshops are back in cinemas for 2022. Learn more

Home
Subjects
Shop Courses Live Jobs board
Account Shopping cart Logout

Economics

Economics
Explore
Blog Reference library Collections Shop

Practice Exam Questions

Advertising, Costs and Revenues (MCQ Revision Question)

Level:
A Level, IB
Board:
AQA, Edexcel, OCR, IB, Eduqas, WJEC
Share:

In this MCQ revision question we revise the likely effects on cost and revenues of a successful advertising campaign for a firm operating in an imperfectly competitive market.

Advertising, Costs and Revenues (MCQ Revision Question)

Key points in reasoning the correct answer:

  • Successful advertising causes outward shift in both AR & MR
  • Advertising is usually treated as a fixed cost
  • Rise in fixed cost causes upward shift in the AC curve but no change in the MC curve
Share:

Boston House,
214 High Street,
Boston Spa,
West Yorkshire,
LS23 6AD

Tel: +44 0844 800 0085

© 2022 Tutor2u Limited. Company Reg no: 04489574. VAT reg no 816865400.

Back to top