Which of the Following Is True of Variable Cost Advantage

question 23

Multiple Choice

Which of the following is true of variable cost advantage?

• A)Scale effect occurs for a manufacturer who doubles production capacity.
• B)Businesses with a substantial market share advantage generally achieve a higher unit cost.
• C)As volume increases,the cost per unit generally increases.
• D)A larger unit volume allows for production that lowers the per-unit manufacturing cost,thereby creating a scope effect.
• E)As a business builds more of the same product,there is a greater opportunity for scale effects.

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Definitions:

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Relationships characterized by a significant duration and often involving a deep emotional connection and commitment.

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Unwanted, forced sexual intercourse in a dating situation.

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Social and cultural norms that dictate the behaviors, activities, and roles deemed appropriate for men and women in a society.

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The influence exerted by a peer group, encouraging individuals to change their attitudes, values, or behaviors to conform to group norms.