Recall the Application About the Manufacture of Fake Killer Whales

question 138

Multiple Choice

Recall the Application about the manufacture of fake killer whales used to scare sea lions off the Washington coast to answer the following question(s) .
-Recall the Application. If a fake killer whale to be used to scare sea lions away from steelhead and other threatened and commercially valuable species cost $11,000 for the mold and $5,000 for materials for each fake killer whale made, then the producer would face

• A) increasing returns to scale.
• B) decreasing returns to scale.
• C) increasing average total costs.
• D) decreasing demand.

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Definitions:

Value-Added Engineering

The enhancement of a product or service before it is offered to customers, adding features or improving functionality to increase its value.

Commercial Construction

The business of building and selling or leasing manufacturing or assembly plants, medical centers, retail shopping centers, and standard space for offices.

Geographic Sales Organization

A sales force structure where teams are organized based on the geographic locations of customers, often used to localize marketing efforts and enhance customer service.

Divided Regions

Geographic areas segmented for the purpose of management, marketing, or administrative efficiency, often defined by natural boundaries, political divisions, or market characteristics.