Diseconomies of Scale Are Present When

question 1

Multiple Choice

Diseconomies of scale are present when

• A)the LRAC curve slopes downward.
• B)average total cost falls as input increases.
• C)average total cost rises as output increases.
• D)the LRAC curve is horizontal.
• E)total fixed cost increases.

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Definitions:

Joint And Several

A legal term that refers to the responsibility of two or more parties to fully compensate for a liability, allowing the claimant to pursue an obligation from any one party as if they were all collectively responsible.

Tort Creditor

A person or entity that has a right to compensation due to damages suffered as a result of another's tortious act, such as negligence or intentional harm.

Partnership Business

A lawful business structure operated by two or more people, where both management responsibilities and profits are shared.

Express Authority

Power clearly stated or written, given by one party to another.