The Minimum Efficient Scale in the Figure Below Shows That

question 214

Multiple Choice

The minimum efficient scale in the figure below shows that

• A)point A is the minimum efficient scale (ME
• S)for the firm.
• B)point B is the minimum efficient scale (ME
• S)for the firm.
• C)the long-run average cost curve (LA
• C)reaches a minimum point at B.
• D)the minimum efficient scale (ME
• S)illustrates maximum average costs.

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Definitions:

Times Interest Earned

A financial ratio that measures a company's ability to meet its debt obligations based on its income before interest and taxes.