in case of perfect competition a firm is: A. Price taker B. Independent C. Free to fire prices D. None of these

in case of perfect competition a firm is: A. Price taker B. Independent C. Free to fire prices D. None of these
by

1 Answer

Answer :

ANSWER: A
by
selected

Related questions

Which of the following is not characteristic of perfect competition? A. Heterogeneous Product B. Each seller is a price taker C. Freedom of entry and exit D. Perfect information about Prices

Description : Which of the following is not characteristic of perfect competition? A. Heterogeneous Product B. Each seller is a price taker C. Freedom of entry and exit D. Perfect information about Prices

Last Answer : ANSWER: A

The Price taker firm is one which: A. Can influence market prices B. Cannot influence market prices C. Can fix prices D. None of these

Description : The Price taker firm is one which: A. Can influence market prices B. Cannot influence market prices C. Can fix prices D. None of these

Last Answer : ANSWER: B

In which of the following market forms, a firm does not exercise control over price? (1) Monopoly (2) Perfect competition (3) Oligopoly (4) Monopolistic competition

Description : In which of the following market forms, a firm does not exercise control over price? (1) Monopoly (2) Perfect competition (3) Oligopoly (4) Monopolistic competition

Last Answer : (2) Perfect competition Explanation: In perfect competition, the existence of a large number of firms producing and selling the product ensures that an individual firm exercises no influence over the price ... a position to influence the price of the product by the increasing or reducing its output.

Which of the following statement is true (a) In perfect competition Average and Marginal revenue are identical (b) In perfect competition Average and Marginal cost are identical (c) In perfect competition Average price and Marginal cost are identical (d) In perfect competition only normal profit can be earned by a firm

Description : Which of the following statement is true (a) In perfect competition Average and Marginal revenue are identical (b) In perfect competition Average and Marginal cost are identical (c) In perfect competition ... cost are identical (d) In perfect competition only normal profit can be earned by a firm

Last Answer : (a) In perfect competition Average and Marginal revenue are identical

In which of the following market forms, a firm does not exercise control over price? (1) Monopoly (2) Perfect competition (3) Oligopoly (4) Monopolistic competition

Description : In which of the following market forms, a firm does not exercise control over price? (1) Monopoly (2) Perfect competition (3) Oligopoly (4) Monopolistic competition 

Last Answer : Perfect competition

A firm that practices price competition engages in which one of the following strategies? A)Setting prices only as low as the second -lowest competitor B)Letting other firms cut price while it retains profitability C)Competing in both price and product differentiation D)Beating or matching the prices of competitors

Description : A firm that practices price competition engages in which one of the following strategies? A)Setting prices only as low as the second -lowest competitor B)Letting other firms cut price ... C)Competing in both price and product differentiation D)Beating or matching the prices of competitors

Last Answer : D)Beating or matching the prices of competitors

One of the essential conditions of perfect competition is : (1) product differentiation (2) multiplicity of prices for identical products at any one time. (3) many sellers and a few buyers. (4) Only one price for identical goods at any one time.

Description : One of the essential conditions of perfect competition is : (1) product differentiation (2) multiplicity of prices for identical products at any one time. (3) many sellers and a few buyers. (4) Only one price for identical goods at any one time.

Last Answer : (4) Only one price for identical goods at any one time. Explanation: The fundamental condition of perfect competition is that there must be a large number of sellers or firms. ... perfect competition, the control over price is completely eliminated because all firms produce homogeneous commodities.

One of the essential conditions of perfect competition is : (1) product differentiation (2) multiplicity of prices for identical products at any one time. (3) many sellers and a few buyers. (4) Only one price for identical goods at any one time.

Description : One of the essential conditions of perfect competition is : (1) product differentiation (2) multiplicity of prices for identical products at any one time. (3) many sellers and a few buyers. (4) Only one price for identical goods at any one time. 

Last Answer : Only one price for identical goods at any one time.

If the demand curve confronting an individual firm is perfectly elastic, then firm is A.Price taker B.Adjust output C.Adjust priceD.All of theseAnswer Repor

Description : If the demand curve confronting an individual firm is perfectly elastic, then firm is A.Price taker B.Adjust output C.Adjust price D.All of these Answer Repor

Last Answer : A.Price taker

In a competitive market ……………….. is the price taker (a) Firm ; (b) Industry ; (c) Consumer ; (d) Trade association

Description : In a competitive market ……………….. is the price taker (a) Firm ; (b) Industry ; (c) Consumer ; (d) Trade association

Last Answer : (a) Firm ; 

Compared to the case of perfect competition, a monopolist is more likely to: a. charge a higher price b. produce a lower quantity of the product c. make a greater amount of economic profit d. all of the above

Description : Compared to the case of perfect competition, a monopolist is more likely to: a. charge a higher price b. produce a lower quantity of the product c. make a greater amount of economic profit d. all of the above

Last Answer : d. all of the above

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

Description : 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

Last Answer : (3) Marginal Revenue = Marginal Cost Explanation: 173. (3) When the marginal revenue productivity of a factor is equal to the marginal- cost (MR=MC) of the factor, the firm will be in ... revenue and marginal revenue (P = AR = MR) is the standard condition for a perfectly competitive firm.

Inwhich market structure is the demand curve of the market represented by the demand curve of the firm? (1) Monopoly (2) Oligopoly (3) Duopoly (4) Perfect Competition

Description : Inwhich market structure is the demand curve of the market represented by the demand curve of the firm? (1) Monopoly (2) Oligopoly (3) Duopoly (4) Perfect Competition

Last Answer : (1) Monopoly Explanation: Because the monopolist is the market's only supplier, the demand curve the monopolist faces is the market demand curve. The market demand curve is downward sloping, ... expect to receive for its output will not remain constant as the monopolist increases its output.

Under perfect competition, the industry does not have any excess capacity because each firm produces at the minimum point on its - (1) long-run marginal cost curve (2) long-run average cost curve (3) long-run average variable cost curve (4) long-run average revenue curve

Description : Under perfect competition, the industry does not have any excess capacity because each firm produces at the minimum point on its - (1) long-run marginal cost curve (2) long-run average cost curve (3) long-run average variable cost curve (4) long-run average revenue curve

Last Answer : (2) long-run average cost curve Explanation: Under perfect competition, the firms operate at the minimum point of long-run average cost curve. In this way, the actual longrun output of ... ideal output. This gives the mea-sure of excess capacity which lies unutilized under imperfect competition.

Demand curve of a firm under perfect competition is : (1) horizontal to ox-axis (2) negatively sloped (3) positively sloped (4) U - shaped

Description : Demand curve of a firm under perfect competition is : (1) horizontal to ox-axis (2) negatively sloped (3) positively sloped (4) U - shaped

Last Answer : (1) horizontal to ox-axis Explanation: Under Perfect Competition, the firm faces a horizontal demand curve. It can sell any quantity desired at the market price, but cannot sell anything above the market price.

The type of competitive structure that exists when a firm with many potential competitors attempts to develop a differential marketing strategy to establish its own market share is 1. mixed competition 2. oligopoly 3. monopolistic competition 4. perfect competition 5. none of these

Description : The type of competitive structure that exists when a firm with many potential competitors attempts to develop a differential marketing strategy to establish its own market share is 1. mixed competition 2. oligopoly 3. monopolistic competition 4. perfect competition 5. none of these

Last Answer : perfect competition

What type of competitive structure exists when a firm produces a product that has no close substitutes ? 1. Monopoly 2. Oligopoly 3. Perfect Competition 4. Mixed Competition 5. None of these

Description : What type of competitive structure exists when a firm produces a product that has no close substitutes ? 1. Monopoly 2. Oligopoly 3. Perfect Competition 4. Mixed Competition 5. None of these

Last Answer : Monopoly

Under perfect competition, the industry does not have any excess capacity because each firm produces at the minimum point on its?

Description : Under perfect competition, the industry does not have any excess capacity because each firm produces at the minimum point on its?

Last Answer : Long run average cost curve

The type of competitive structure that exists when a firm with many potential competitors attempts to develop a differential marketing strategy to establish its own market share is: A)Monopoly B)Oligopoly C)Monopolistic Competition D)Perfect Competition

Description : The type of competitive structure that exists when a firm with many potential competitors attempts to develop a differential marketing strategy to establish its own market share is: A)Monopoly B)Oligopoly C)Monopolistic Competition D)Perfect Competition

Last Answer : C)Monopolistic Competition

What type of competitive structure exists when a firm produces a product that has no close substitutes? A)Monopoly B)Oligopoly C)Monopolistic Competition D)Perfect Competition E)Mixed Competition

Description : What type of competitive structure exists when a firm produces a product that has no close substitutes? A)Monopoly B)Oligopoly C)Monopolistic Competition D)Perfect Competition E)Mixed Competition

Last Answer : A)Monopoly

The demand curve of a Monopoly firm is – (a) Same that of a firm in a perfect competition ; (b) Same as that of the total market demand; (c) Non-exist ; (d) Perfectly elastic

Description : The demand curve of a Monopoly firm is – (a) Same that of a firm in a perfect competition ; (b) Same as that of the total market demand; (c) Non-exist ; (d) Perfectly elastic

Last Answer : (b) Same as that of the total market demand;

In the long run a firm in perfect competition earns (a) Normal profit only ; (b) Abnormal profit ; (c) Average profit of past five years; (d) 12.33% profit on capital employed

Description : In the long run a firm in perfect competition earns (a) Normal profit only ; (b) Abnormal profit ; (c) Average profit of past five years; (d) 12.33% profit on capital employed

Last Answer : (a) Normal profit only ;

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

Description : 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

Last Answer :  Marginal Revenue = Marginal Cost

In which market structure is the demand curve of the market represented by the demand curve of the firm ? (1) Monopoly (2) Oligopoly (3) Duopoly (4) Perfect Competition

Description : In which market structure is the demand curve of the market represented by the demand curve of the firm ? (1) Monopoly (2) Oligopoly (3) Duopoly (4) Perfect Competition

Last Answer : Monopoly

Under perfect competition, the industry does not have any excess capacity because each firm produces at the minimum point on its (1) long-run marginal cost curve (2) long-run average cost curve (3) long-run average variable cost curve (4) long-run average revenue curve

Description : Under perfect competition, the industry does not have any excess capacity because each firm produces at the minimum point on its (1) long-run marginal cost curve (2) long-run average cost curve (3) long-run average variable cost curve (4) long-run average revenue curve

Last Answer : long-run average cost curve

Demand curve of a firm under perfect competition is : (1) horizontal to ox-axis (2) negatively sloped (3) positively sloped (4) U – shaped

Description : Demand curve of a firm under perfect competition is : (1) horizontal to ox-axis (2) negatively sloped (3) positively sloped (4) U – shaped

Last Answer : horizontal to ox-axis

Mary King's job is to call on GP's and explain how patients can benefit from new prescription drugs her firm develops. Mary is: A)a technical salesperson B)a missionary salesperson C)an order taker D)an order getter E)a trade salesperson

Description : Mary King's job is to call on GP's and explain how patients can benefit from new prescription drugs her firm develops. Mary is: A)a technical salesperson B)a missionary salesperson C)an order taker D)an order getter E)a trade salesperson

Last Answer : B)a missionary salesperson

In case of perfect competition: A. P = AR > MR B. P = AR = MR C. P = AR < MR D. None of these

Description : In case of perfect competition: A. P = AR > MR B. P = AR = MR C. P = AR < MR D. None of these

Last Answer : ANSWER: B

Selling cost have to be incurred in case of - (1) Perfect Competition (2) Monopoly (3) Monopolistic Competition (4) None of the given options

Description : Selling cost have to be incurred in case of - (1) Perfect Competition (2) Monopoly (3) Monopolistic Competition (4) None of the given options

Last Answer : (3) Monopolistic Competition Explanation: Selling costs are the expenses on advertisement, salesmanship, free sampling, free service, door-todoor canvassing, and so on. There is no selling problem under ... . They are incurred to persuade a buyer to purchase one product in preference to another.

Selling costs have to be incurred in case of A.Perfect competition B.Monopolistic competition C.Imperfect competition D.None

Description : Selling costs have to be incurred in case of A.Perfect competition B.Monopolistic competition C.Imperfect competition D.None

Last Answer : B.Monopolistic competition

Selling cost have to be incurred in case of (1) Perfect Competition (2) Monopoly (3) Monopolistic Competition (4) None of the given options

Description : Selling cost have to be incurred in case of (1) Perfect Competition (2) Monopoly (3) Monopolistic Competition (4) None of the given options

Last Answer : Monopolistic Competition 

One advantage of non -price competition is that: A)a firm can react quickly to competitive efforts. B)market share becomes less important. C)a firm can build customer loyalty. D)pricing is no longer a success factor.

Description : One advantage of non-price competition is that: A)a firm can react quickly to competitive efforts. B)market share becomes less important. C)a firm can build customer loyalty. D)pricing is no longer a success factor.

Last Answer : C)a firm can build customer loyalty.

Which of the following is NOT a desirable feature for a brand name? A)it can facilitate the introduction of new products B)it can become used as the generic name for all products in the category C)it can make it possible for the firm to engage in non price competition D)it can help develop brand loyalty amongst buyers

Description : Which of the following is NOT a desirable feature for a brand name? A)it can facilitate the introduction of new products B)it can become used as the generic name for all products in the ... for the firm to engage in non price competition D)it can help develop brand loyalty amongst buyers

Last Answer : B)it can become used as the generic name for all products in the category

Same price prevails throughout the market under - (1) perfect competition (2) monopoly (3) monopolistic competition (4) oligopoly

Description : Same price prevails throughout the market under - (1) perfect competition (2) monopoly (3) monopolistic competition (4) oligopoly

Last Answer : (1) perfect competition Explanation: Under perfect competition, the control over price is completely eliminated because all firms produce homogeneous commodities. This condition ensures that the same price prevails in the market for the same commodity.

Price and output are determinates in market structure other than - (1) monopoly (2) perfect competition (3) oligopoly (4) monopsony

Description : Price and output are determinates in market structure other than - (1) monopoly (2) perfect competition (3) oligopoly (4) monopsony

Last Answer : (2) perfect competition Explanation: Perfect competition is a form of market in which there are a large number of buyers and sellers competing with each other in the purchase and sale of goods ... 's output is perfectly elastic. Product differentiation holds the key in this type of market structure.

Under perfect competition, price of the product A.Can be controlled B.Cannot be controlled C.Can be controlled within certain limit D.None of the above

Description : Under perfect competition, price of the product A.Can be controlled B.Cannot be controlled C.Can be controlled within certain limit D.None of the above

Last Answer : B.Cannot be controlled

Who are the price-takers under Perfect Competition?

Description : Who are the price-takers under Perfect Competition?

Last Answer : Buyers

Price and output are determinates in market structure other than (1) monopoly (2) perfect competition (3) oligopoly (4) monopsony

Description : Price and output are determinates in market structure other than (1) monopoly (2) perfect competition (3) oligopoly (4) monopsony

Last Answer : perfect competition

Same price prevails throughout the market under (1) perfect competition (2) monopoly (3) monopolistic competition (4) oligopoly

Description : Same price prevails throughout the market under (1) perfect competition (2) monopoly (3) monopolistic competition (4) oligopoly

Last Answer : perfect competition

Marketers are in a better position to establish prices when: A)there is non -price competition. B)they know prices charged for competing brands. C)the main pricing objective is image building. D)they are using psychological pricing.

Description : Marketers are in a better position to establish prices when: A)there is non-price competition. B)they know prices charged for competing brands. C)the main pricing objective is image building. D)they are using psychological pricing.

Last Answer : B)they know prices charged for competing brands.

If Amstrad wants to focus its marketing efforts on price competition, the firm's long -run success will depend B)lower prices than it has historically charged. C)a promotional campaign for lower prices. D)a lower cost structure than its competitors.on having: A)lower prices than its competition.

Description : If Amstrad wants to focus its marketing efforts on price competition, the firm's long-runsuccess will depend on having: A)lower prices than its competition.B)lower prices than it has historically charged. C)a promotional campaign for lower prices. D)a lower cost structure than its competitors.

Last Answer : D)a lower cost structure than its competitors.

To set the price of a new dictionary, Houghton Mifflin needs to know how many dictionaries can be sold at different prices. The dependent variable in this example would be: A)competition B)book publishers C)sales D)price E)consumers

Description : To set the price of a new dictionary, Houghton Mifflin needs to know how many dictionaries can be sold at different prices. The dependent variable in this example would be: A)competition B)book publishers C)sales D)price E)consumers

Last Answer : C)sales

If a firm is operating at loss in the shortperiod in perfect combination, it should : (1) decrease the production and the price. (2) increase the production and the price (3) continue to operate as long as it covers even the variable costs. (4) shut-down and leave the industry

Description : If a firm is operating at loss in the shortperiod in perfect combination, it should : (1) decrease the production and the price. (2) increase the production and the price (3) continue to operate as long as it covers even the variable costs. (4) shut-down and leave the industry

Last Answer : (3) continue to operate as long as it covers even the variable costs. Explanation: The demand for labour is "derived- from the production and demand for the product being demanded. If the demand ... price and production numbers are met. Labour is "derived" from the market demand for the product.

What will happen if a firm in perfect competitive market, increase its output by 50% (a)Total sales revenue will also increase by 50% ; (b) (b)Selling price will come down by 50%; (c)Total sales revenue will decrease by 50% ; (d)Profit will increase by 25%

Description : What will happen if a firm in perfect competitive market, increase its output by 50% (a)Total sales revenue will also increase by 50% ; (b) (b)Selling price will come down by 50%; (c)Total sales revenue will decrease by 50% ; (d)Profit will increase by 25%

Last Answer : (a)Total sales revenue will also increase by 50% ;

If a firm is operating at loss in the short-period in perfect combination, it should : (1) decrease the production and the price. (2) increase the production and the price (3) continue to operate as long as it covers even the variable costs. (4) shut-down and leave the industry

Description : If a firm is operating at loss in the short-period in perfect combination, it should : (1) decrease the production and the price. (2) increase the production and the price (3) continue to operate as long as it covers even the variable costs. (4) shut-down and leave the industry

Last Answer : continue to operate as long as it covers even the variable costs.

Even though a firm may have stated list prices and discount structures, the customer may pay an even lower price through what type of pricing? A)Open bidding B)Administered pricing C)Sealed bidding D)Negotiated pricing

Description : Even though a firm may have stated list prices and discount structures, the customer may pay an even lower price through what type of pricing? A)Open bidding B)Administered pricing C)Sealed bidding D)Negotiated pricing

Last Answer : D)Negotiated pricing

Which of the following is true to Euler’s theorem of factor pricing ? (a) Constant return to scale (b) Static and risk free economy (c) Perfect competition (d) All of the above

Description : Which of the following is true to Euler’s theorem of factor pricing ? (a) Constant return to scale (b) Static and risk free economy (c) Perfect competition (d) All of the above

Last Answer : (d) All of the above

Which of them is a characteristic of a price taker (a) MR = Price ; (b) AR = MR ; (c) TR = PXQ ; (d) All the three

Description : Which of them is a characteristic of a price taker (a) MR = Price ; (b) AR = MR ; (c) TR = PXQ ; (d) All the three

Last Answer :  (d) All the three 

Which of the following following is most likely to affect the location ocation strategy strategy of a manufacturing anufacturing firm? a. appearance/image appearance/image of the area b. utility costs c. purchasing purchasing power of drawing drawing area d. competition competition in the area

Description : Which of the following following is most likely to affect the location ocation strategy strategy of a manufacturing anufacturing firm? a. appearance/image appearance/image of the area b. utility costs c. purchasing purchasing power of drawing drawing area d. competition competition in the area

Last Answer : b. utility costs

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

Description : 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 ... d. businesses d. quality of the competition quality of the competition e. environmental regulations

Last Answer : e. environmental regulations