Internal Economies of Scale Arise When the Cost Per Unit

question 5

Multiple Choice

Internal economies of scale arise when the cost per unit

• A) falls as the average firm grows larger.
• B) rises as the industry grows larger.
• C) falls as the industry grows larger.
• D) rises as the average firm grows larger.
• E) remains constant over a broad range of output.

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Definitions:

Augmented Matrix

An augmented matrix is a matrix used in linear algebra, consisting of the coefficient matrix of a system of linear equations and one or more columns added to the right, representing the constants from the equations' right-hand sides.

Linear Equations

Equations in which the highest power of the variable is one, graphically represented as straight lines.

Variables

Symbols used to represent unspecified numbers or values.

Ordered Triple

A set of three numbers used to locate a point in three-dimensional space.