Given the Usual Assumptions About Perfect Competition,a Perfectly Competitive Firm

question 134

Multiple Choice

Given the usual assumptions about perfect competition,a perfectly competitive firm

• A)can set the price it charges.
• B)can sell as much of its product as it wishes at the market price.
• C)can affect the market conditions in a significant way.
• D)is aware of its competitors' costs.
• E)competes actively with other sellers in the industry.

Recognize the distinctions between sales promotions tools such as coupons, deals, contests, and sweepstakes.

Outline the steps to develop an effective advertising program.

Identify advantages and disadvantages of different media for advertising.

Understand the concept of product placement and its examples.

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Definitions:

Long-Term Liabilities

Debts that will be repaid over a number of years, such as long-term loans and bond issues.