Several Errors Are Listed Below

question 74

Essay

Several errors are listed below.
Required:
Indicate the effect each error would have on 2014 net income by placing a plus sign (+), minus sign (-) or NI (no impact) in the space provided. Part (a) has been completed as an example.

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Definitions:

Homogeneous Product

A homogeneous product is one that is perceived by consumers as identical in quality and function to a product from another producer.

Entry Barriers

Entry Barriers are obstacles that make it difficult for new entrants to enter an industry, protecting existing firms from competition.

Oligopoly

An oligopoly is a market structure dominated by a few large firms, leading to limited competition and possibly collaborative behavior to control prices and market share.

Increasing Returns To Scale

Long-run average total cost declines as output increases (also referred to as economies of scale).