Which of the Following Is NOT a Barrier to Entry

question 278

Multiple Choice

Which of the following is NOT a barrier to entry for a monopoly?

• A) economies of scale for the relevant range of output
• B) a patent on the product being sold
• C) the ability to charge a price that is above marginal cost
• D) receiving a public franchise

---

Definitions:

Residual Dividend Policy

A residual dividend policy involves a company paying out dividends from the leftover net income after all operational and project financing needs are met.

Rate of Growth

The pace at which a company, economy, or investment increases in size or value over a specific period.

Constant Dividends

A fixed amount of dividend that a company pays out to its shareholders regularly, typically annually.

Date of Payment

The specific day on which a financial obligation must be paid, such as the date dividends are distributed to shareholders.