Returns to Scale Refers To

question 56

Multiple Choice

Returns to scale refers to:

• A)the increase in output that accompanies an increase in one input, all other inputs held constant.
• B)a change in a production process that enables a firm to achieve more output from a given combination of inputs.
• C)the number of units of increase in output that can be obtained from an increase in one unit of input.
• D)the percentage by which output will increase when all inputs are increased by a given percentage.

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Definitions:

Departments

Distinct divisions within a company or organization designated to handle specific tasks or functions, such as sales, marketing, or human resources.

Catering Department

A division within a company or a facility that is responsible for providing food services for events, meetings, and functions.

Profit Center

A segment or division of a company that is directly responsible for generating its own revenue and profit.

Cost Center

A department or function within a business to which costs are charged for accounting purposes, but does not directly generate revenue.