-The Figure Above Shows the Market Demand Curve and the ATC

question 226

Multiple Choice

-The figure above shows the market demand curve and the ATC curve for a firm.If all firms in the market have the same ATC curve,economies of scale limit the market to ________ firm(s) .

• A) 1
• B) 2
• C) 3
• D) 4
• E) 8

---

Definitions:

Factory Insurance

A type of insurance policy that provides coverage against losses or damages to a manufacturing facility and its operations.

Depreciation Expense

The allocation of the cost of tangible assets over their useful lives, reflecting the decrease in value over time.

Factory Equipment

Assets used in the production process to manufacture goods, typically considered as fixed assets in accounting.

Costs of Goods Manufactured Schedule

A detailed accounting that shows the total production costs for a company over a specific period, including direct labor, materials, and overhead.