Which of the Following Statements Is Not Correct

question 616

Multiple Choice

Which of the following statements is not correct?

• A)Novels are likely to be produced in a monopolistically competitive industry.
• B)Cable television is likely to be produced in a monopoly industry.
• C)Milk is likely to be produced in a monopolistically competitive industry.
• D)Cigarettes are likely to be produced in an oligopoly industry.

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Definitions:

Required Return

The minimum annual percentage earned by an investment that will induce individuals or companies to commit money to the investment. It is also known as the cost of capital when applied to investment appraisal.

Ignore Taxes

A financial analysis assumption where tax implications are disregarded to simplify the calculation.

Initial Cost

The initial expenditure associated with purchasing an asset or starting a project, including setup, implementation, and acquisition costs.

CCA Class

Stands for Capital Cost Allowance Class, which is a Canadian tax categorization for depreciation of tangible and intangible assets.