All of the Following Are Considered Input Barriers to Entry

question 95

Multiple Choice

All of the following are considered input barriers to entry except:

• A)control of a key raw material by a single firm.
• B)the ability to obtain financing for capital projects at more favorable rates than potential competitors.
• C)the fact that workers in a particular industry belong to a union.
• D)a patent on a specialized type of capital that is needed to produce a particular product.

---

Definitions:

Activity Level

A measure of the volume of production or operation activity that influences costs, used in variable costing to adjust for changes in operating scale.

Product Costs

Costs directly associated with the manufacturing of products, including materials, labor, and factory overhead.

Financial Reporting

The process of producing statements that disclose an organization's financial status to management, investors, and the government.

Average Costs

The cost per unit of output, calculated by dividing total costs by the total number of units produced.