Market share can be computed by dividing
A)The amount that a buyer buys by the total amount that is produced in the market.
B)Profit by total cost.
C)The amount sold by a single firm by the total sold in the market.
D)Price by average total cost.

Question

Quizplus · Accepted Answer

Market share is the percentage of total sales of a product or service that is generated by a particular company. It can be computed by dividing the amount sold by a single firm by the total sold in the market. Option A is incorrect because it calculates the buyer's share, not the market share. Option B is incorrect because it calculates the profit margin. Option D is incorrect because it calculates the markup.

Market Share Can Be Computed by Dividing