When a Perfectly Competitive fiRm Is in Equilibrium in the Long

question 69

Multiple Choice

When a perfectly competitive firm is in equilibrium in the long run, _____.

• A) average cost must be lesser than marginal revenue
• B) average cost must be greater than marginal revenue
• C) average cost must be equal to marginal revenue
• D) marginal revenue must be greater than price

Analyze and journalize business transactions and understand their effect on the accounting equation.

Compare and contrast accounting conventions and practices under GAAP and IFRS.

Understand the principles of double-entry accounting and the normal balance for various types of accounts.

Identify and apply the correct process for posting journal entries.

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Definitions:

Enforceable

Capable of being imposed or upheld by legal process or authority.

Release

A contract in which one party forfeits the right to pursue a legal claim against the other party.

Recovery

The process of obtaining rightful recovery or reimbursement for losses, damages, or sums owed.

Liquidated Debt

A debt that is due and certain in amount.