A Major Difference Between Monopolistic Competition and Perfect Competition Is

question 181

Multiple Choice

A major difference between monopolistic competition and perfect competition is

• A)the number of sellers in the markets.
• B)the degree by which the market demand curves slope downwards.
• C)that products are not standardized in monopolistic competition unlike in perfect competition.
• D)the barriers to entry in the two markets.

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Definitions:

Year-End Adjustment

Accounting entries made at the end of an accounting period to update accounts for accurate financial reporting.

Insurance Policy

A contract between an insurer and a policyholder that outlines the terms under which the insurer agrees to compensate the policyholder for specific losses.

Net Income

The total profit of a business after all expenses, taxes, and costs have been subtracted from total revenue.

Adjusted Trial Balance

A trial balance prepared after adjusting entries are made, used to verify the balance of debits and credits.