1. Utility maximization is always accomplished where total revenue is maximized.
True
False
2. Law of demand distinct from the law of diminishing marginal utility in which it takes into account what a consumer is capable to pay for a good, not just the consumer's wish for the good.
True
False
3. A vertical demand curve has elasticity of zero.
True
False
4. All price elasticity’s of the demand along downward-sloping demand curves have the negative value when they’re computed, due to the law of demand. But, economists focus on absolute value of the elasticity.
True
False
5. Price elasticity of the demand is constant along with the straight-line demand curves.
True
False