Refer to the Table Below A)$80
B)$60
C)$40
D)$20

question 1

Multiple Choice

Refer to the table below. The average benefit of 2 units of activity is: $$\begin{array} { | c | c | c | } \hline \begin{array} { c } \text { Units of } \\\text { Activity }\end{array} & \begin{array} { c } \text { Total } \\\text { Cost }\end{array} & \begin{array} { c } \text { Total } \\\text { Benefit }\end{array} \\\hline 0 & \$ 0 & \$ 0 \\\hline 1 & \$ 30 & \$ 100 \\\hline 2 & \$ 40 & \$ 160 \\\hline 3 & \$ 60 & \$ 190 \\\hline 4 & \$ 100 & \$ 210 \\\hline 5 & \$ 150 & \$ 220 \\\hline 6 & \$ 210 & \$ 225 \\\hline\end{array}$$

• A)$80
• B)$60
• C)$40
• D)$20

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Definitions:

Economies Of Scale

The cost advantage achieved by an increase in production, leading to a lower cost per unit.

Facilities

Physical locations or infrastructures where business operations occur, including offices, factories, and warehouses.

Distributors

Entities engaged in the business of distributing goods, typically bought from manufacturers, directly to retailers or customers.

Supply Chain

The entire process of making and selling commercial goods, including raw materials sourcing, manufacturing, distribution, and sales.