Economies of Scope Are Cost Savings Resulting from a Firm

question 4

True/False

Economies of scope are cost savings resulting from a firm successfully leveraging, either through sharing or transferring, some of its capabilities and competencies developed in one business to another business.

---

Definitions:

Igneous Rocks

Rocks formed from the cooling and solidification of magma or lava, classified into intrusive (slow cooling inside the earth) and extrusive (quick cooling on the surface) types, such as granite and basalt.

Nonfuel Mineral Resources

Minerals found in the Earth's crust that are used for everything except fuel, such as metals, stone, and industrial minerals like gypsum and salt.

Metamorphic Rock

Rock that has been transformed by heat, pressure, or chemical processes from its original state into a new form.

Anthracite

A hard, compact variety of coal that has a high luster and carbon content.