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Nirvana Publishing House Invested on High-End Printing Equipment

Question 3

Multiple Choice

Nirvana Publishing House invested on high-end printing equipment.After a year of production, the company had to double the amount of production of its newspapers and weekly magazine because of high customer demand.However, the company did not have to invest in another similar equipment to meet demands.This is an example of a _____.


A) fixed cost of demand
B) fixed cost of scale
C) fixed cost of production
D) fixed cost of supply

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