Perfect competition is characterized by all of the following except I - Many producers and consumers II - Homogeneous products III - Heavy advertising by individual sellers IV - Each firm is a price taker

III - Heavy advertising by individual sellers

Explanation:

Perfect competition occurs when producers supply relatively homogeneous products and consumers have all information relevant for making a purchase.

So no single entity has the power to control price of commodities in the market.

All forms are price takers meaning the prevailing price in the market will apply to all forms.

Entry and exit of firms is also free for firms.

In perfect competition heavy advertising is not necessary because funds will be wasted in promoting a homogeneous product.

correct, but each time you dont pay the price of the penalty can increase.