The Table Given Below Shows the Average Total Cost of Production

question 86

Multiple Choice

The table given below shows the average total cost of production of a firm at different levels of the output.Table 8.5

-If a firm experiences economies of scale,

• A)it moves up along the long run average total cost curve.
• B)expansion of output becomes more expensive for the firm.
• C)the firm can reduce its per unit cost by producing less.
• D)the firm must shut down in the long run.
• E)the firm can reduce its per unit cost by expanding production.

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Definitions:

Stimulus

Any object or event that elicits a sensory or behavioral response in an organism.

Subliminal

Referring to stimuli or messages presented below the threshold of conscious perception, capable of influencing thoughts, feelings, or actions.

Bitter Receptors

Sensory taste receptors located on the tongue that are responsible for detecting bitter substances, playing an essential role in taste perception.

Sour Receptors

Specialized sensory cells located in the taste buds that detect sour tastes.