The Short Interest Ratio Is Found by Dividing the Number

question 60

Multiple Choice

The short interest ratio is found by dividing the number of shares sold short by the average:

• A) number of shares outstanding in the market.
• B) daily volume of trading on the exchange.
• C) number of stocks reaching new lows.
• D) daily number of stocks bought long.

---

Definitions:

Average Total Cost

The average cost per unit of output expressed as the total production cost divided by the number of units produced.

Average Total Cost

The total cost per unit of output, calculated by dividing the total cost by the quantity of output produced.

Efficient Scale

The level of production at which a firm operates with the lowest average total costs, achieving economies of scale without incurring diseconomies of scale.

Short-Run Cost Curves

Graphical representations that show the relationship between a firm's costs and output levels in the short term.