Consider an industry with that contains the following firms Total Revenue Firm A $45,000 Firm B $35,000 Firm C $50,000 Firm D $10,000 Firm E $60,000 Calculate Firm B's market share
Consider an industry with that contains the following firms Total Revenue Firm A $45,000 Firm B $35,000 Firm C $50,000 Firm D $10,000 Firm E $60,000 Calculate Firm B's market share
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![**Industry Revenue Overview**
Consider an industry that contains the following firms:
| Firm | Total Revenue |
|---------|---------------|
| Firm A | $45,000 |
| Firm B | $35,000 |
| Firm C | $50,000 |
| Firm D | $10,000 |
| Firm E | $60,000 |
**Market Share Calculation**
To calculate Firm B's market share:
1. **Determine the Total Market Revenue**: Add the revenues of all the firms.
2. **Calculate Firm B’s Market Share**: Divide Firm B’s revenue by the total market revenue and multiply by 100 to express it as a percentage.
*Formula:*
\[
\text{Market Share of Firm B} = \left(\frac{\text{Revenue of Firm B}}{\text{Total Market Revenue}}\right) \times 100
\]
Please solve the calculation using the given revenue data.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fde753302-c2fa-4be4-a8a4-c691d86556c8%2Fc5d5acd7-26e6-42c0-8f64-32a91b03677f%2Fq3jd67k_processed.png&w=3840&q=75)
Transcribed Image Text:**Industry Revenue Overview**
Consider an industry that contains the following firms:
| Firm | Total Revenue |
|---------|---------------|
| Firm A | $45,000 |
| Firm B | $35,000 |
| Firm C | $50,000 |
| Firm D | $10,000 |
| Firm E | $60,000 |
**Market Share Calculation**
To calculate Firm B's market share:
1. **Determine the Total Market Revenue**: Add the revenues of all the firms.
2. **Calculate Firm B’s Market Share**: Divide Firm B’s revenue by the total market revenue and multiply by 100 to express it as a percentage.
*Formula:*
\[
\text{Market Share of Firm B} = \left(\frac{\text{Revenue of Firm B}}{\text{Total Market Revenue}}\right) \times 100
\]
Please solve the calculation using the given revenue data.
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