If Economies of Scale Are Present,then

question 122

Multiple Choice

If economies of scale are present,then:

• A)Average variable costs are falling but average fixed costs are constant.
• B)Average costs are constant.
• C)Average costs are decreasing.
• D)Average costs are increasing.

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Definitions:

Auditory Image

A mental representation of a sound when the sound is not physically present.

Proposition

A statement or assertion that expresses a judgment or opinion, which can be either true or false.

Cognitive Schema

Mental structures that an individual uses to organize knowledge and guide cognitive processes and behavior.

Prototype

An original model or first form of something from which other forms are copied or developed.