Asked by Jeanette Retana on Jul 28, 2024
Verified
A firm that wants to achieve economies of scale could do so by
A) assigning limited tasks to its employees, so they can master those tasks.
B) employing a smaller number of workers.
C) producing a smaller quantity of output.
D) producing an output level higher than the efficient scale.
Economies of Scale
Enterprises gain cost benefits from their operation size, as the cost for each unit produced typically drops when the scale enlarges because fixed expenses are distributed across a greater number of output units.
Efficient Scale
The level of production at which a firm can produce its product at the lowest average cost per unit.
- Identify how problems with specialization and coordination contribute to the financial burdens of a firm.
Verified Answer
ZK
Zybrea KnightAug 02, 2024
Final Answer :
A
Explanation :
Assigning limited tasks to employees allows them to specialize and become more efficient, contributing to economies of scale by lowering the average cost per unit through increased production efficiency.
Learning Objectives
- Identify how problems with specialization and coordination contribute to the financial burdens of a firm.
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