Please Define the Following Key Terms

question 67

Essay

Please define the following key terms. Show Who? What? Where? When? Why Important?
-Petra

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Definitions:

Optimal Plant Size

The scale of production at which a firm can produce goods at the lowest average cost, maximizing efficiency.

Fixed Factors

Resources in production that cannot be easily increased or decreased in the short term, such as land or certain machinery.

Capital-Intensive

A characteristic of industries or businesses that require large amounts of capital investment in machinery and equipment relative to labor to produce goods or services.

Firm Costs

All the expenses incurred by a company in the production and sale of goods or services, including raw materials, labor, and overhead.