Imagine that there is an industry made up of 300 firms.  You have data on the 9 largest firms below.  You don’t have the revenues for 291 of the firms in the industry but one piece of critical information that you do know is that Company B has 12.5% market share.   Company Name Annual Revenues ($) A 100 B 80 C 64 D 63 E 38 F 30 G 22 H 19 I 19   Answer the following questions (Round to 2 decimals if you need to round):   What is the CR4?  What is the CR8?  What is the HHI? What is the total industry revenue?

Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter3: The Adjusting Process
Section: Chapter Questions
Problem 29E
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 Imagine that there is an industry made up of 300 firms.  You have data on the 9 largest firms below.  You don’t have the revenues for 291 of the firms in the industry but one piece of critical information that you do know is that Company B has 12.5% market share.

 

Company Name

Annual Revenues ($)

A

100

B

80

C

64

D

63

E

38

F

30

G

22

H

19

I

19

 

Answer the following questions (Round to 2 decimals if you need to round):

 

  1. What is the CR4? 
  2. What is the CR8? 
  3. What is the HHI?
  4. What is the total industry revenue?
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