Why do most firms in monopolistic competition typically make zero profit in the long run?
a....
Business, 27.09.2019 02:00 bullockarwen
Why do most firms in monopolistic competition typically make zero profit in the long run?
a. because the total market is not large enough to accommodate so many firms
b. because the lack of entry barriers would compete away profits
c. because firms do not produce at their minimum efficient scale
d. because firms produce differentiated products
Answers: 3
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Mr. drucker uses a periodic review system to manage the inventory in his dry goods store. he likes to maintain 15 sacks of sugar on his shelves based on the annual demand figure of 225 sacks. it costs $2 to place an order for sugar and costs $1 to hold a sack in inventory for a year. mr. drucker checks inventory one day and notes that he is down to 9 sacks; how much should he order?
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