Use the Figure Below to Answer the Following Questions

question 22

Multiple Choice

Use the figure below to answer the following questions. Figure 11.4.2
-Refer to Figure 11.4.2,which shows the cost curves and marginal revenue curve of a firm in a perfectly competitive market.In the long run,market

• A)demand will increase.
• B)demand will decrease.
• C)supply will increase.
• D)supply will decrease.
• E)supply and market demand will decrease.

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Definitions:

Equity

The residual interest in the assets of the entity after deducting all its liabilities.

Pre-Acquisition Entry

An accounting entry made to adjust the values of the acquiree's assets and liabilities to their fair values at the acquisition date before they are consolidated.

Non-Controlling Interest

represents the portion of equity in a subsidiary not attributable, directly or indirectly, to the parent company, reflecting the minority shareholders' claim on the subsidiary's assets and earnings.

Subsidiary

A company controlled by another company, known as the parent company, usually through ownership of more than 50% of its voting stock.