Scenario 9.2 Consider a Publicly Held Firm (One Whose Stock Shares Are

Multiple Choice

Scenario 9.2
Consider a publicly held firm (one whose stock shares are traded on the stock exchange) that earned revenue worth $350 million and incurred land, labor, and debt costs worth $320 million. The stockholders who have invested a total of $100 million in this firm could have earned 10 percent return on other comparable investments.
-Perfect competition describes a firm's behavior in a market model where:

A) there are few firms producing identical products.
B) there are few firms producing highly differentiated products.
C) there are many firms producing identical products.
D) there are many firms producing highly differentiated products.
E) there are barriers to entry and exit for the new firms.