A firm in a purely competitive industry has a typical cost structure. The normal rate of profit in..

A firm in a purely competitive industry has a typical cost structure. The normal rate of profit in the economy is 6.00 percent. This firm is earning $5.50 on every $50 invested by its founders.What is its percentage rate of return?Is the firm earning an economic profit? If so, how large?Will this industry see entry or exit?What will be the rate of return earned by firms in this industry once the industry reaches long-run equilibrium?

 

Needs help with similar assignment?

We are available 24x7 to deliver the best services and assignment ready within 3-4 hours? Order a custom-written, plagiarism-free paper

Order Over WhatsApp Place an Order Online

Do you have an upcoming essay or assignment due?

All of our assignments are originally produced, unique, and free of plagiarism.

If yes Order Similar Paper