Which of the Following Situations Illustrates Sustaining Expectation Effect

question 8

Multiple Choice

Which of the following situations illustrates sustaining expectation effect?

• A)Ross made good grades in math and rarely struggled with math concepts until he got into calculus.He expected to continue making top scores without studying.
• B)Carmen's third grade teacher made science exciting and fun.Carmen expected to keep loving science and said she wanted to be a scientist,but her fourth grade teacher made science seem boring.Carmen's expectations changed.
• C)Mrs.Gromberg has been teaching for seven years.Her students always do well on the state tests,and she expects them to make the highest scores in the district.This year her students met her expectations.
• D)Megan usually makes low grades in math,but she actually understands fractions.On the fractions unit,she made one of the highest scores,but the teacher thought it was a fluke and wondered whether Megan cheated.Megan didn't try very hard on the next unit.

Identify the features indicating productive efficiency and allocative efficiency in pure competition.

Illustrate the relationship between marginal cost, marginal revenue, price, and average total cost in the context of pure competition.

Distinguish between different types of industries based on long-run supply and demand curves.

Interpret graphs related to purely competitive markets, including aspects of allocative efficiency, marginal benefit, and marginal cost.

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Definitions:

Rent Revenue

Income earned from leasing out property or equipment.

Interest Revenue

Earnings received from lending activities or from investments in interest-bearing assets.

Operating Lease

A lease agreement allowing a user to rent an asset without the benefits or responsibilities of ownership, typically with shorter lease terms.

Debt to Stockholders' Equity

A financial ratio that measures the company's financial leverage by comparing its total liabilities to stockholders' equity.