A Merchandiser Need Not Calculate Cost Per Unit as It

question 52

True/False

A merchandiser need not calculate cost per unit as it resells goods that are already manufactured.

---

Definitions:

X-Inefficiency

The difference between efficient behavior of enterprises assumed or implied by economic theory and their observed behavior in practice, often due to a lack of competitive pressure.

Pure Competition

A market structure characterized by many small firms producing identical products, where no single firm has significant control over the market price.

Monopolistic Competition

A market structure characterized by many producers selling products that are similar but not identical, allowing for competition based on quality, price, and brand.

Nondiscriminating Monopolist

A monopolist that charges all consumers the same price for its product or service, regardless of the market segment.