A ___________ Makes It More Difficult for a Competitor to Enter

question 22

Multiple Choice

A ___________ makes it more difficult for a competitor to enter a market.

• A) luxury product
• B) barrier to entry
• C) lower price
• D) lower cost

---

Definitions:

Owners' Equity

The residual interest in the assets of a company after deducting liabilities, representing the ownership stake of the shareholders.

Balance Sheet

A financial statement that provides a snapshot of a company’s financial condition at a specific moment in time, showing assets, liabilities, and shareholders' equity.

Stock Dividend

A distribution of additional shares of a company's stock to its shareholders instead of cash.

Common Stock

A type of security that signifies ownership in a corporation and represents a claim on part of the company’s profits.