Which of the following is not a condition of perfect competition?

CA Foundation · Business Economics · MTP · September 2026
Which of the following is not a condition of perfect competition?
(A) A. A large number of firms
(B) B. Perfect mobility of factors
(C) C. Informative advertising to ensure that consumers have good information.
(D) D. Freedom of entry and exit into and out of the market

Suggested Answer and Working Notes:

Correct Answer: Option (C)

C. Informative advertising to ensure that consumers have good information.

Topics: Price Determination in Different Markets

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