-Dustin's Copy Shop Can Use Four Alternative Plants

question 140

Multiple Choice

-Dustin's copy shop can use four alternative plants. The figure above shows the average total cost curves for Plant 1 (ATC₁) , Plant 2 (ATC₂) , Plant 3 (ATC₃) , and Plant 4 (ATC₄) . Dustin's Plant 2 will be economically efficient if the firm produces

• A) 2,000 copies per day.
• B) 4,800 copies per day.
• C) 5,300 copies per day.
• D) 6,000 copies per day.

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Definitions:

Loans

Sums of money borrowed that are expected to be paid back with interest.

Potential Lender

An individual or institution considering the provision of loans or credit to businesses or individuals, assessing risk and return before decision-making.

Small Business Manager

A person responsible for directing the operations, managing the staff, and ensuring the profitability of a small business.

Actions

The steps or measures taken to achieve a particular goal, often planned and executed to effect change or produce a desired outcome.