If There Are Two Large Firms,each with One-Quarter of the Market,and

question 21

Multiple Choice

If there are two large firms,each with one-quarter of the market,and 10 firms,each with one-twentieth of the market,in an industry,the market four-firm concentration ratio will be:

• A) 40.
• B) 50.
• C) 60.
• D) 10.
• E) 12.

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Definitions:

Duty to Be Careful

The duty to be careful, often referred to as a duty of care, is a legal obligation imposed on individuals to act with the caution and attentiveness of a reasonable person to avoid causing harm to others.

Director

An individual appointed or elected to oversee the management and strategic direction of a company or organization.

Due Diligence

Doing everything reasonable to avoid a problem leading to legal liability.

Peat Bog

A type of wetland terrain formed from partially decayed vegetation, known for its unique ecosystems and carbon storage capabilities.