Economics Q91
91An analyst gathers the following market data for an industry:
| Company | Revenue (In million$) |
| UBL | 900 |
| HBL | 800 |
| NBP | 700 |
| NIB | 600 |
| MCB | 500 |
| Others | 400 |
The industry’s four-company concentration ratio is closest to:
- Option : B
- Explanation : The top four companies in the industry comprise 77% percent of industry sales: Concentration Ratio = (900 + 800 + 700 + 600) / (900 + 800 + 700 + 600 + 500 + 400) = 77%
