Suppose That a Firm's Long-Run Average Total Costs of Producing

question 303

Multiple Choice

Suppose that a firm's long-run average total costs of producing custom wooden picnic tables is $300 when it produces 10,000 tables and $325 when it produces 11,000 tables. For this range of output, the firm is experiencing

• A)economies of scale.
• B)constant returns to scale.
• C)diseconomies of scale.
• D)specialization.

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Definitions:

Seminal Vesicle

A gland in males that secretes fluid that partly composes the semen.

Seminal Fluid

The fluid that, together with spermatozoa, forms semen and provides nutrients and protection for sperm.

Interstitial Cells

Cells of the male reproductive system that secrete the androgens (such as testosterone).

Male Sex Hormones

Hormones, such as testosterone, that play pivotal roles in male development and reproductive functions.