Darrell Owns a Furniture Store

question 81

Multiple Choice

Darrell owns a furniture store. If he decided to expand the size of his store in order to sell more furniture, how would he know if he is experiencing diseconomies of scale?

• A) His total cost of selling furniture decreases.
• B) His average cost of selling furniture increases.
• C) His total cost of selling furniture remains unchanged.
• D) His average cost of selling furniture remains unchanged.
• E) His average cost of selling furniture decreases.