Which of the Following Is Not Considered a Barrier to Entry

question 158

Multiple Choice

Which of the following is not considered a barrier to entry?

• A)economies of scale
• B)patents
• C)control of a scarce resource
• D)licensing
• E)perfect price discrimination

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Definitions:

Variable Costing

A bookkeeping approach that incorporates just the variable costs of production (such as direct materials, direct labor, and variable factory overheads) into the costs of products.

Variable Costing

A costing method that includes only variable production costs—direct materials, direct labor, and variable manufacturing overhead—in product costs, excluding fixed overhead.

Net Operating Income

A measure of a company's profitability from its core business operations, excluding deductions of interest and taxes.

Variable Costing

A costing method that includes only variable manufacturing costs in product costs, treating fixed manufacturing overhead as a period expense.