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When a firm produces a small amount of output, the spreading effect:
Balance Sheet
A delineation of a company's financial status including assets, liabilities, and shareholders' equity at an exact point in time.
Liabilities
Sums of money or other financial obligations that a company is required to pay in the future to creditors, lenders, or suppliers.
Assets
Economic resources owned or controlled by a business, expected to provide future benefits.
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