Minimum Efficient Scale Is the Level of Output at Which

question 54

Multiple Choice

Minimum efficient scale is the level of output at which _____

• A)short-run average total cost is minimum.
• B)short-run average total cost stops increasing.
• C)long-run average cost stops decreasing.
• D)long-run average cost is maximum.
• E)profit stops increasing.

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Definitions:

87.5%

A numerical value representing 87.5 parts out of 100; often used in statistical or financial contexts.

Percent Reduction

The percentage by which a quantity is decreased, commonly used in sales and discount contexts.

Interest Rate

The percentage charged on a loan or earned through an investment, representing the cost or yield of capital.

25%

Represents a quarter or one-fourth of a total amount, often used to describe a portion, increase, or interest rate.