The Market Structure in Which Natural or Legal Barriers Prevent

question 25

Multiple Choice

The market structure in which natural or legal barriers prevent the entry of new firms and a small number of firms compete is

• A)monopoly.
• B)monopolistic competition.
• C)perfect competition.
• D)oligopoly.
• E)imperfect monopoly.

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Definitions:

Prior-Period Adjustment

Corrections of errors made in previously published financial statements, not considered ordinary adjustments.

Net Income

The net income a company earns following the subtraction of all expenses and taxes from its total revenue.

Accounting Methods

Accounting methods are the specific principles and procedures implemented by a business or organization to prepare its financial statements.

Rigid Accounting Rules

Accounting practices that are strictly defined with little to no room for interpretation or flexibility in their application.