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WorksheetsPERFECT COMPETITION BY MS HANIS
Total questions: 10
Worksheet time: 5mins
Which of the following is not the characteristics of Perfect Competition?
Barriers of entry
Homogenous product
Firms are price taker
Don't have non price competition
In Perfect Competition market, if the firms earn supernormal profit in the short run, AC must be __________
equal to price
equal to MC
below AR
above AR
Price=MR=AR= RM10
Quantity= 5 units
AC= RM12
MC= RM10
Based on the data above, identify the types of profit that the firms will earns in the short run?
Profit
Loss
Breakeven
Identify the types of profit shown in this diagram?
supernormal profit
normal profit
subnormal profit
Profit maximization using the marginal approach when
P=MC
AC=AR
MR=MC
TR=TC
What is the formula to calculate marginal revenue (MR)?
TR divide quantity
TC divide quantity
change in TC divide change in quantity
change in TR divide change in quantity
Refer to this diagram, calculate the amount of profit?
RM20
RM40
RM60
RM100
Using the total approach, the firms will maximize the profit when the gap between TR and TC is high?
Yes
No
Price in Perfect competition must
elastic
perfectly inelastic
perfectly elastic
downward sloping
What is the example of firms in Perfect Competition?
TNB
Fish
Shoes
Shampoo
