Economists Do Not Consider the Smartphone Industry Perfectly Competitive Because

question 184

Multiple Choice

Economists do not consider the smartphone industry perfectly competitive because

• A) the government strictly regulates entry and exit.
• B) smartphones are heterogeneous.
• C) smartphone manufacturers each have a small market share.
• D) there are a large number of smartphone manufacturers.

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Definitions:

Incremental Net Operating Income

The difference in net operating income between two alternatives.

Depreciated

Refers to the decrease in the value of an asset over time due to wear and tear or obsolescence.

Sales Revenues

The total amount of money generated from the sale of goods or services before any costs or expenses are deducted.

Cash Operating Expenses

The expenses a company incurs during its day-to-day operational activities, paid in cash, such as rent, utilities, and salary payments.