In Perfect Competition,which of the Following Conditions Must Prevail

question 26

Multiple Choice

In perfect competition,which of the following conditions must prevail?

• A) All firms must adhere to cost and pricing standards.
• B) The number of firms in the industry must be limited.
• C) A single firm is able to influence the price of its product.
• D) It is relatively difficult to enter the industry.
• E) All firms in a given industry must be small.

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Definitions:

Inheritance

Assets or property received from someone who has passed away, often as dictated by a will or the laws of intestacy.

Investment

Assigning funds with the goal of achieving returns or making a profit.

Compounded Annually

interest calculation method where the interest is added to the principal once a year.

Interest

The cost of borrowing money, calculated as a percentage of the amount borrowed.