The Phenomenon Where Production of More Units Results in Higher

question 100

Multiple Choice

The phenomenon where production of more units results in higher average cost per item is known as

• A)economies of scale.
• B)diseconomies of scale.
• C)best operating level.
• D)disefficiency.

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Definitions:

Economic Entity

An organization or unit in society that has the ability to conduct economic activities, such as businesses or governments.

Indirect Non-Controlling Interest

A stake in a company held through another holding, offering a non-direct route of control or influence over the business operations of the subsidiary.

Subsidiary

A company that is fully or partly owned and wholly controlled by another company, which is referred to as the parent company.

Shares

Units of ownership interest in a corporation or financial asset, representing a portion of the corporation's equity.