Asked by Chevelle Serrano on Sep 24, 2024

​Which of these statements are FALSE

A) ​If production exhibits diseconomies of scope,firm should reduce the number of products to reduce costs.
B) If production exhibits diseconomies of scope,firm should increase the number of products to reduce costs.
C) If production exhibits economies of scope,firm should increase the number of products to reduce costs.
D) ​If production exhibits economies of scope,firm should increase the number of products to reduce costs.

Diseconomies Of Scope

A situation in which a company experiences increased costs as a result of increasing the variety of goods or services it produces.

Economies Of Scope

Cost advantages that enterprises obtain due to the efficient production of a wider variety of goods or services together rather than separately.

  • Assess the impact of expanding product lines on economies and diseconomies of scope in business decision-making.