Calculation of Average Costs with Economies of Scope Blinds N Such is considering a merger with Window Supply Stores. Blinds' total operating costs of producing services are $750,000 for sales volume of $6 million. Window's total operating costs of producing services are $100,000 for a sales volume (JP) of $1 million. Calculate the average cost of production for the Blinds and Window firms, respectively.
A) 10%, 12.5%
B) 12.5%, 10%
C) 75%, 1.67%
D) 13.93%, 13.93%
Correct Answer:
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