When an Industry Has Only a Handful of Very Large

question 239

Multiple Choice

When an industry has only a handful of very large sellers which of the following exists?

• A)Duopoly
• B)Perfect competition
• C)Oligopoly
• D)Monopolistic competition
• E)Monopoly

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Definitions:

Net Operating Income

Income produced by a firm's regular activities, not including taxes and interest.

Sales Increase

The rise in the quantity or volume of products sold or revenue generated over a specific period.

Variable Expenses

Costs that vary in direct proportion to changes in the level of production or sales volume, such as materials or sales commissions.

Fixed Expenses

Expenses that remain constant regardless of the amount of goods produced or sold in a brief timeframe, including lease payments, wages, and insurance premiums.