Are two stark realities any business firm must

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are two stark realities any business firm mustrecognize.17.The termprice takerrefers to a firm operating in a perfectly competitive market thatmust take the prevailing market price for its product.18.Anaccounting profitis calculated by subtracting the firm's costs from its total revenues,excluding opportunity cost.19.Marginal Revenuerefers to the additional revenue gained from selling one more unit.20.What happens in a perfectly competitive industry when economic profit is greater thanzero?New firms may enter the industry and all of the above21.If the price that a firm charges is lower than itsaverage costof production, the firm willsuffer losses.22.In economic terms, a practical approach to maximizing profits requires an examinationof how changes in production affectmarginal revenueandmarginal cost.23.The use of sharp, temporary price cuts as a form ofpredatory pricingwould enabletraditional US automakers to discourage new competition from smaller electric carmanufacturers.24.Which of the following will present the least amount of concern to a firm that has amonopoly over a particular industry?The competitive actions of other business firms25.Which of the following is most likely to be a monopoly?Local Electricity Distributer26.The form of legal protection intended to prevent reproduction of original works isreferred to ascopyrightlaw.27.The largest cattle rancher in a given region will be unable to have amonopolywhensufficient numbers of smaller cattle ranchers provide sources of competition.
Homework 41. a monopolist is able to maximize its profits by
2. Why are some producers forced to sell their products at the prevailing market price?
3. In the _________, the perfectly competitive firm will seek out________________________.
4. An _____ is calculated by subtracting the firm's cost from its total revenues, _____.
5. Economic profit can be derived from calculating total revenues minus all of the firmscost
6. If a firm's revenues do not cover its average variable costs, then that firm hasreached its ________.

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Term
Fall
Professor
GaryW.Reinke,
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