In the long run Al's Sandwich Shop incurs total costs of $2,500 when output is 1,250 units and $3,000 when output is 1,500 units.For this range of output,Al's exhibits

Name: In the long run Al's Sandwich Shop incurs total costs of $2,500 when output is 1,250 units and $3,000 when output is 1,500 units.For this range of output,Al's exhibits
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Question

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Al's Sandwich Shop exhibits constant returns to scale because its total costs increase in the same proportion as its output.

In the Long Run Al's Sandwich Shop Incurs Total Costs