Profits and Your Franchise Firm
We have explored the costs of production which have a direct impact on the profit of your firm. Write a 2- to 3-page essay that addresses the following questions.
Give an example of indivisible inputs for your firm.
Discuss the characteristics of a perfectly competitive firm. Does your franchise firm share any of these same traits? Explain.
In the long run, what happens to economic profits (assuming your firm is competitive)? Explain.