________ refers to cost savings that you get as volume increases.
A) Switching costs
B) Economic costs
C) Economies of scale
D) All of the answer choices are correct.
E) None of the answer choices is correct.

Question

Quizplus · Accepted Answer

Economies of scale refer to cost savings that occur as the volume of production or output increases. As the volume increases, fixed costs such as rent and machinery can be spread out over more units, resulting in lower costs per unit. This can make a business more efficient and competitive. Switching costs refer to costs incurred when changing suppliers or products, while economic costs are the total costs (including both explicit and implicit costs) of producing a good or service.

________ Refers to Cost Savings That You Get as Volume