Which of the following industries is most likely to exhibit the characteristic of free entry?

Question 1

Question 2

If a firm is operating in a perfectly competitive market in which the market price equals $12, then its

Question 3

In a competitive market the current price is $11, and the typical firm in the market has ATC - $11.50 and AVC = $11.15.

Solutions

Expert Solution

1. Option 3. T-shirt silkscreening

Explanation: The remaining three industries require huge amount of capital investment.

2. Option 1. Marginal revenue is $12

Explanation: For a perfectly competitive firm, the price equals the marginal revenue.

3. Option 1. In the short-run, firms will shut down and in the long-run firms will exit

Explanation: The price is lower than the lowest AVC and ATC.

Rahul Sunny answered 2 years ago

Next > < Previous

Related Solutions

Which of the following factors is most likely to restrict the entry of potential competitors into...

Which of the following factors is most likely to restrict the entry of potential competitors into a market? Select one or more: a. economies of scale. b. elastic market demand curve for the product. c. a lack of patent protection for the new entrant. d. all of the above.

4. which of the following is most likely to exhibit covalent bonding a. MgCl2 b. NaCl...

4. which of the following is most likely to exhibit covalent bonding a. MgCl2 b. NaCl c. OCs2 d. SO2 e. LiF it is either c or d not sure which is most covalent

Which situation is most likely to exhibit diminishing marginal returns to labor? A. A factory that...

Which situation is most likely to exhibit diminishing marginal returns to labor? A. A factory that hires more workers and never increases the amount of machinery B. A factory that increases the amount of machinery and holds the number of workers constant C. A factory that obtains a new machine for every new worker hired D. None of these situations will result in diminishing marginal returns to labor.

Which of the following is likely to contain the most acrylamide?

Part AWhich of the following is likely to contain the most acrylamide?raw potato left in the skinfried potatobaked potatoboiled potatoPart BYou are a plant geneticist and wish to alter strawberries using the same technique as was used for the Innate Potato. Which of the following do you use?RNA interferenceDNA manufactureRNA recombinationDNA rearrangementPart CA genetically modified variety of tomato is created and approved for human consumption. Which of the following is most likely to not support this?Center for Food SafetyMonsantoFood and...

Which of the following is most likely to be ruled by a court to be an...

Which of the following is most likely to be ruled by a court to be an unconscionable remedy limitation under the UCC? A. A provision that limits consequential damages for personal injuries to consumers B. A provision that limits consequential damages for personal injuries to merchants C. A provision that limits consequential damages for personal injuries to corporations D. All of the above

Which of the following accounts would likely be included in an accrual adjusting entry?

Which of the following accounts would likely be included in an accrual adjusting entry?Insurance ExpensePrepaid RentTax ExpenseUnearned Rent

Which of the following is characteristic of metals? Which of the following is characteristic of insulators?...

Which of the following is characteristic of metals? Which of the following is characteristic of insulators? Which of the following is characteristic of semiconductors? Match each of the following answers: Large number of carriers independent of temperature, and low electron mobility that decreases with increasing temperature. Intermediate number of carriers independent of temperature, and high electron mobility that decreases with increasing temperature Near zero conductors, no real mobility estimates and near zero conductivity. None of the above.

answer the following a. Which of the following is the most likely strategy for a U.S....

answer the following a. Which of the following is the most likely strategy for a U.S. firm that will be receiving Swiss francs in the future and desires to avoid exchange rate risk (assume the firm has no offsetting position in francs)? A. purchase a call option on francs. B. sell a futures contract on francs. C. obtain a forward contract to purchase francs forward. D. all of the above are appropriate strategies for the scenario described. b. If you...

Which of the following is most likely a strategy for self-improvement?

Which of the following is most likely a strategy for self-improvement?comparing your performance to otherssetting specific goals for yourselffocusing on your obstaclesclarifying your mistakesdemanding help from others

Which of the following is likely to be the most expensive cost of quality?

Which of the following is likely to be the most expensive cost of quality? A) Appraisal costs B) External failure costs C) Internal failure costs D) Prevention costs

Subjects