mdcat logical reasoning MCQ #105

A company's profits decrease due to increased competition. What is the effect of increased competition on a company's profits?

mdcat logical reasoning MCQ #105

  1. Question 1

    Q1. A company's profits decrease due to increased competition. What is the effect of increased competition on a company's profits?

    • A) Increased profits
    • B) Decreased profits
    • C) Stable profits
    • D) Variable profits

    Answer: Decreased profits

    Explanation: Increased competition typically decreases profits; increased profits is an opposite effect. USAT, HAT and MDCAT analytical sections repeat this pattern.