Total industry sales are $800 million.The four largest firms have sales of $320 million,$226 million,$98 million,and $42 million.The industry's four-firm concentration ratio is

Question

Quizplus · Accepted Answer

The four-firm concentration ratio is calculated by dividing the sales of the four largest firms by the total industry sales. In this case, the four-firm concentration ratio is ($320 million + $226 million + $98 million + $42 million) / $800 million = 0.86.

Total Industry Sales Are $800 Million