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3 years ago

For a firm in a perfectly competitive market, price is

Business

1 answer:

Zigmanuir [339]3 years ago

8 0

Answer:

The correct answer is D. equal to both average revenue and marginal revenue.

Explanation:

A perfectly competitive market or market of perfect competition is that market in which two characteristics are fulfilled:

1) there is a large number of buyers and sellers in such a way that the influence they individually exert on prices is negligible;

2) the goods or services that are exchanged are the same. [Supply and demand] Perfect competition is the situation of a market where companies lack the power to manipulate the price (price-acceptors), and there is a maximization of well-being.

This results in an ideal situation of the goods and services markets, where the interaction of supply and demand determines the price. A perfectly competitive market has the following characteristics: There are many buyers and sellers in the market. The goods offered by different vendors are largely identical. Companies can freely enter and exit the market.

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3 years ago

A recent innovation by Amazon, the Vendor Flex program, seeks to lower overall transportation costs but also creates new forms o

Mariulka [41]

Answer:

A) horizontal

Explanation:

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3 years ago

How are business entrepreneurs and social entrepreneurs different?

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3 years ago

Read 2 more answers

On July 1, 20x1, Fox Co. purchased as a held-to-maturity investment $5,000,000 of Owl, Inc.'s 8% bonds for $4,580,000, including

Dimas [21]

Answer:

The amount fox should report on Dec 31,20x1 = $4,556,500

Explanation:

The carrying amount of bonds = $4,580,000 - $50,000

The carrying amount of bonds = $4,530,000

Amortization of discount from july 1 to dec 31 (6 months):

Interest Revenue = $4,530,000* 10% * 6/12

Interest Revenue= $226500

Interest Receivable = $5,000,000 * 8% * 6/12

Interest Receivable = $200000

Discount amortized =Interest Revenue - Interest Receivable

Discount amortized = $226500 - $200000

Discount amortized = $26500

So:

The amount fox should report on Dec 31,20x1 = $4,530,000 + $26500

The amount fox should report on Dec 31,20x1 = $4,556,500

4 0

3 years ago

In a perfectly competitive market, all of the following statements are true except: A. Marginal revenue is the same as price.

Rashid [163]

Answer: Marginal revenue is equal to price times quantity

Explanation:

A perfectly competitive market is a market where there's a large number of both the producers and the consumers have full and symmetric information.

In a perfectly competitive market, the marginal revenue is the same as price and the marginal revenue curve is the same as the demand curve facing sellers.

It should be noted that the statement that the marginal revenue is equal to price times quantity is incorrect. The total revenue is equal to price times quantity.

6 0

3 years ago

For a firm in a perfectly competitive​ market, price is

For a firm in a perfectly competitive market, price is