Reference no: EM132950717

Problem 1: Economies of scale refers to the fact that, for many goods,

Option 1: multinationals are more profitable than domestic firms.

Option 2: as the level of production increases, the average cost of producing each individual unit declines.

Option 3: firms hiring many workers are more efficient than firms hiring fewer workers

Option 4: division of labor results in higher profits.

Problem 2: Sunk costs should not be included in making decisions about the future because they__________

Option 1: cannot be retrieved.

Option 2: occurred in the past.

Option 3: indicate errors of judgement.

Option 4: always happen, regardless of plans.