Under IFRS No

question 98

True/False

Under IFRS No.9,cost can be used as an estimate of fair value in some circumstances.

Comprehend how product differentiation and advertising affect demand elasticity and firm's market power in monopolistic competition.

Recognize the role of economic profits in signaling entry or exit of firms in the industry.

Relate the influence of number of firms, product differentiation, and market entry barriers on the market outcomes in monopolistically competitive markets.

Understand profit-maximizing output levels for a firm based on demand and cost data.

---

Definitions:

Pure Monopolist

A market structure in which a single company or entity has exclusive control over the production and sale of a particular product or service, with no close substitutes.

Pure Monopolist

A single seller in a market with no close substitutes for the product offered, enabling significant control over price.

Profit-Maximizing Price

The price point at which a company can sell its product or service to achieve the highest possible profit, considering the balance between price and sales volume.

Pure Monopolist

A single supplier in a market who has complete control over the price and supply of a unique product or service, without any close substitutes.