Which one of the following following factors factors does not affect the volume and revenue for a service firm? a. affluence affluence of customer customer drawing drawing area b. competition competition in the area c. physical physical qualities qualities of facilities facilities and neighboring neighboring businesses d. businesses d. quality of the competition quality of the competition e. environmental regulations

Which one of the following following factors factors does not affect the volume and revenue for a service firm? a. affluence affluence of customer customer drawing drawing area b. competition competition in the area c. physical physical qualities qualities of facilities facilities and neighboring neighboring businesses d. businesses d. quality of the competition quality of the competition e. environmental regulations
by

1 Answer

Answer :

e. environmental regulations
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The equilibrium of a firm under perfect competition will be determined when - (1) Marginal Revenue > Average Cost (2) Marginal Revenue > Average Revenue (3) Marginal Revenue = Marginal Cost (4) Marginal Cost > Average Cost

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