A Competitive Price-Taker Firm Would Be Willing to Remain in the Industry

question 148

Multiple Choice

A competitive price-taker firm would be willing to remain in the industry in the long run at zero economic profit because

• A) it would find it too difficult to exit from the industry in the long run.
• B) accounting profit would be negative.
• C) it is covering all costs, including the opportunity cost of capital and labor.
• D) its sunk costs would prevent it from leaving the industry.

Analyze and calculate the firm's cash flow to stockholders.

Determine the firm's cash flow from assets.

Comprehend the application of provincial tax rates to income calculations.

Calculate net new borrowing and understand its implications on financial statements.

---

Definitions:

Rejected Children

Children who are infrequently identified as a best friend and are actively disliked by their peers.

Aggression

Behavior intended to harm or intimidate others, which can be physical, verbal, or symbolic and stem from a variety of factors, both internal and psychological.

Play Therapy

Therapy that allows the child to work off frustrations and is a medium through which the therapist can analyze the child’s conflicts and ways of coping with them. Children may feel less threatened and be more likely to express their true feelings in the context of play.

School Psychologist

A professional who works within educational settings to support the emotional, social, and academic development of students.