Which of the Following Is a Characteristic of Oligopoly

question 34

Multiple Choice

Which of the following is a characteristic of oligopoly?

• A) mutual firm independence
• B) zero economic profits in the short run
• C) marginal cost pricing
• D) only a few firms in the industry

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Definitions:

Discounted Payback Period

The time period required for the return on an investment to cover the cost, taking the time value of money into account.

Cash Inflows

Money or other forms of capital coming into a business, often from sales, investments, or financing activities.

Required Rate

The minimum annual percentage return on investment demanded by investors or lenders.

Payback Period

The duration required for an investment to produce income or cash flows equal to the investment's initial cost.