If average total costs increase when the output level increases, then there are diseconomies of scope. O there are economies of scope. O there are no economies of scale. O there are diseconomies of scale.

Average cost curves (except for avenge fixed cost) tend to be U-shaped, decreasing and then increasing. Marginal cost curves have the same shape, though this may be harder to see since most of the marginal cost curve is increasing. Why do you think that average and marginal cost curves have the same general shape?

What shapes would you generally expect each of the following cost curves to have: fixed costs, variable costs, marginal costs, average total costs, and average variable costs?

By doubling a machine's inputs, the output increases three times. How does this affect cost and what does this characterize? O Per unit costs rises, Diseconomies of Scale O Per unit costs falls, Economies of Scale O Per unit costs remains the same, Constant Economies of Scale O Per unit cost rises, Economies of scale Per unit cost falls, diseconomies of scale.

As Big Jake Lumber expands, the cost of shipping the lumber drops sharply. This is an example of achieving of scale. O economies O diseconomies O constant returns O varlable costs

5. Costs in the short run versus in the long run Ike's Bikes is a major manufacturer of bicycles. Currently, the company produces bikes using only one factory. However, it is considering expanding production to two or even three factories. The following table shows the company's short-run average total cost (SRATC) each month for various levels of production if it uses one, two, or three factories. (Note: Q equals the total quantity of bikes produced by all factories.) Number of Factories Q = 100 1 2 3 360 540 720 Q=200 200 300 400 Average Total Cost (Dollars per bike) Q = 300 Q = 400 160 240 160 240 160 160 Q = 500 400 300 200 Q = 600 720 540 360 Suppose Ike's Bikes is currently producing 500 bikes per month in its only factory. Its short-run average total cost is S per bike, Suppose Ike's Bikes is expecting to produce 500 bikes per month for several years. In this case, in the long run, it would choose to produce bikes using On the following graph, plot the three SRATC curves for…

Help answer point e. buying a museum pass when travelling to another city

Help answer point A. Building Construction

Which of the following is always true? When marginal costs are less than average total costs, average total costs will be decreasing. When average fixed costs are falling, marginal costs must be less than average fixed costs. O When average fixed costs are rising, marginal costs must be greater than average total costs. When marginal costs are greater than average total costs, average total costs will be decreasing.

QUESTION 1 When diseconomies of scale occur: CA. the long-run average total cost O B. marginal cost intersects average OC the long-run average total cost O D. average fixed costs curve falls total cost curve rises will rise