Which of the Following Would NOT Be a Barrier to Entry

question 9

Multiple Choice

Which of the following would NOT be a barrier to entry for a particular market?

• A) Ownership of a patent
• B) Low cost of obtaining initial capital
• C) The presence of economies of scale
• D) Government regulation

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Definitions:

Supplies

Items used in the operation of a business that are not directly associated with the products or services being sold, such as office supplies.

Contra-Asset

An account that reduces the value of an asset account with which it is paired, used to account for allowances, depreciations, or impairments.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against an asset over its useful life to date.

Contra-Asset

An account that decreases the balance of its associated asset account through a contra entry.