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In Perfect Competition P = MR, but in Monopoly P

question 10

Essay

In perfect competition P = MR, but in monopoly P > MR.Why? Substantiate this statement with an example.


Definitions:

ROI

Return on investment (ROI) measures the gain or loss generated on an investment relative to the amount of money invested.

ROI

An evaluation tool applied to determine the profitability or efficiency of a single investment or to analyze and compare the efficacy of multiple investments.

Margin

The difference between the selling price of a product and its cost, often expressed as a percentage of the selling price.

Division

A distinct part of a larger company or organization that operates semi-independently, focusing on a specific set of products, services, or market segment.

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