(Table) The table shows sales from all 10 stores in the grocery industry. The four-firm concentration ratio is
$\begin{array}{c}
\hline {\text { Grocery Store Industry }} \
\begin{array}{|c|c|}

\hline \text { Firm } & \begin{array}{c}
\text { Sales } \
\text { (S million) }
\end{array} \
\hline 1 & 20 \
\hline 2 & 18 \
\hline 3 & 16 \
\hline 4 & 13 \
\hline 5 & 10 \
\hline 6 & 8 \
\hline 7 & 6 \
\hline 8 & 5 \
\hline 9 & 3 \
\hline 10 & 1 \
\hline
\end{array}\end{array}$
A) 67.
B) 79.
C) 18.
D) 62.

Question

(Table) The table shows sales from all 10 stores in the grocery industry. The four-firm concentration ratio is
$\begin{array}{c}
\hline {\text { Grocery Store Industry }} \
\begin{array}{|c|c|}

\hline \text { Firm } & \begin{array}{c}
\text { Sales } \
\text { (S million) }
\end{array} \
\hline 1 & 20 \
\hline 2 & 18 \
\hline 3 & 16 \
\hline 4 & 13 \
\hline 5 & 10 \
\hline 6 & 8 \
\hline 7 & 6 \
\hline 8 & 5 \
\hline 9 & 3 \
\hline 10 & 1 \
\hline
\end{array}\end{array}$
A) 67.
B) 79.
C) 18.
D) 62.

Quizplus · Accepted Answer

The four-firm concentration ratio is the sum of the market shares of the top four firms in an industry. In this case, the top four firms are firms 1, 2, 3, and 4, with market shares of 20%, 18%, 16%, and 13%, respectively. Therefore, the four-firm concentration ratio is 20% + 18% + 16% + 13% = 67%.

(Table) the Table Shows Sales from All 10 Stores in the Grocery