A financial institution can achieve cost savings in its credit card operations if it increases the number of cardholders.This is an example of economies of
A) scope.
B) scale.
C) complexity.
D) information.

Question

Quizplus · Accepted Answer

This situation demonstrates economies of scale, as the cost per unit of producing the credit card decreases as the number of cardholders increase.

A Financial Institution Can Achieve Cost Savings in Its Credit