Suppose That a Firm Operating in Perfectly Competitive Market Sells

question 178

Multiple Choice

Suppose that a firm operating in perfectly competitive market sells 400 units of output at a price of $4 each. Which of the following statements is correct? (i)
Marginal revenue equals $4.
(ii)
Average revenue equals $100.
(iii)
Total revenue equals $1,600.

• A)(i) only
• B)(iii) only
• C)(i) and (iii) only
• D)(i), (ii), and (iii)

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Definitions:

SWOT Analysis

A strategic planning tool used to identify and understand the Strengths, Weaknesses, Opportunities, and Threats related to business competition or project planning.

Strengths

Characteristics of a business or individual that provide a competitive advantage or contribute positively to achieving objectives.

Weaknesses

Refers to the areas or aspects where an individual, organization, or system lacks strength or proficiency.

Cross-Functional Teams

Groups composed of members from different areas of expertise working together towards a common goal.