Find the rate of return earned by most firms in industry in

Reference no: EM13453101

There are 300 purely competitive farms in the local dairy market. Of the 300 dairy farms, 298 have a cost structure that generates profits of $24 for every $300 invested. What is their percentage rate of return? The other two dairies have a cost structure that generates profits of $22 for every $200 invested. What is their percentage rate of return? Assuming that the normal rate of profit in the economy is 10 percent, will there be entry or exit? Will the change in the number of firms affect the two that earn $22 for every $200 invested? What will be the rate of return earned by most firms in the industry in long-run equilibrium? If firms can copy each other's technology, what will be the rate of return eventually earned by all firms?

Reference no: EM13453101

Questions Cloud

Generate a chart or table that lists a variety of crime : generate a chart or table that lists a variety of crime types. your chart should include at least four types of crimes

Rligion relies on ldquofaithrdquo to know while : religion relies on ldquofaithrdquo to know while secularism based on science relies on ldquodatardquo to know ndash

Describe the concerns interests and influences of the : q1. review the executive summary article. the report provides six sets of recommendations for increasing the number of

Describe the hydrologic cycle why is this cycle important : write a 250 word response to the following question.earthrsquos atmosphere is made up of five layers. how do pollutants

Find the rate of return earned by most firms in industry in : there are 300 purely competitive farms in the local dairy market. of the 300 dairy farms 298 have a cost structure that

Compute contribution margin compute gross margin compute : 1. jennifers stuffed animals reported the followingnbspnbspnbspnbspnbspnbspnbspnbspnbspnbspnbsp

If so how large will the industry see entry or exit what : a firm in a purely competitive industry has a typical cost structure. the normal rate of profit in the economy is 5

Explain the stockholders liability to creditors of a : 1. describe the stockholders liability to creditors of a corporation.2. why are most large businesses organized as

How does arbitration and mediation have value in resolving : how does arbitration and mediation have value in resolving environmental legal disputes?nbsp state some examples and

User Account

All Pages