Diseconomies of Scale Can Occur as a Result of Which

question 212

Multiple Choice

Diseconomies of scale can occur as a result of which of the following?

• A) increasing marginal returns as the firm increases its size
• B) lower total fixed cost as the firm increases its size
• C) management difficulties as the firm increases its size
• D) greater specialization of labor and capital as the firm increases its size
• E) increases in the labor force not matched by increases in the plant

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Definitions:

Financial Reporting

Crafting statements that expose a business's financial well-being to its managers, investors, and governmental entities.

Product Costs

Costs that are directly related to the manufacturing of products, including direct materials, direct labor, and manufacturing overhead.

Financial Reporting

The practice of formulating disclosures that present an enterprise's fiscal health to its leadership, stakeholders, and state authorities.

Product Costs

Expenses directly incurred in the creation of a product, including raw material, labor, and manufacturing overhead costs.