MARKETS

Perfect Competition : A market structure in which all firms in an industry are price takers and in which there is freedom of entry into and exit from the industry is called perfect competition.
The market with perfect competition condition is known as perfect market.

Features:
The following are the features of perfect competition

1. Large number of buyers and sellers
2. Homogeneous products or services
3. Freedom to entry and exit the market
4. Perfect information available to the buyers and sellers
5. Perfect mobility of factors of production
6. Each firm is a price taker

Total Revenue = Price per unit * No.of units produced and sold
Thus           TR = P*Q