Table 13-6 Tom Owns a Factory in Which He Has Produced TVs

question 141

Multiple Choice

Table 13-6
Tom owns a factory in which he has produced TVs for five years. He has kept track of his average total cost as his level of production varies. This information is summarized below:

-From the information in Table 13-6,what can we conclude regarding the firm's long-run cost

• A)Tom's factory exhibits diseconomies of scale for output between 10 and 30.
• B)Tom's average-total-cost curve is L-shaped.
• C)Tom's factory exhibits constant returns to scale.
• D)Tom's average-total-cost curve is U-shaped.

---

Definitions:

Rehearse

The act of practicing or going over something repeatedly in preparation for a performance or event.

TOT States

"Tip of the Tongue" states, a phenomenon where a person cannot recall a specific word or term, though it feels within reach.

Sign Language

A visual language that uses hand shapes, facial expressions, and body movements to convey meaning, primarily used by deaf and hard-of-hearing individuals.

Relearning Method

A method for measuring retention that compares the time required to relearn material with the time used in the initial learning of the material.