If an industry had 25 firms which collectively had $150 million in total sales and the top four firms in this industry accounted for $90 million in sales, what would be the four-firm concentration ratio?

Question

Quizplus · Accepted Answer

The four-firm concentration ratio is calculated by dividing the total sales of the top four firms by the total sales of the industry and then multiplying by 100. Here, ($90 million / $150 million) * 100 = 60%.

If an Industry Had 25 Firms Which Collectively Had $150