A perfectly competitive firm has a. A perfectly elastic demand for its products b. A perfectly inelastic demand for its products c. A downward sloping demand for its products d. None of the above

a. A perfectly elastic demand for its products

Explanation:

In a Perfect Competition, the market sets the price at which firms are able to sell their goods and services. As a result, this price that is set is equal to the demand for goods and services thereby making the Demand curve a horizontal line which signifies perfect elasticity. What this shows is that if another firm attempts to sell the same good at a higher price, they will be unable to sell.

With Price being equal to demand it will also be equal to both Marginal and Average revenue for the good because the company receives the same additional revenue for every unit sold.

answer; i believe the correct answer is (75 years);

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.