The Table Below Shows the Quantity Demanded (In Thousands) and Quantity

The table below shows the quantity demanded (in thousands) and quantity supplied (in thousands) of computers in the U.S. and Canada at different prices.Table 20.5

-If average costs of production decline with increases in output for a particular large firm in an industry:

A) many small firms will be more efficient than the single large firm in the industry.
B) the single large firm will be more efficient than many small firms in the industry.
C) product diversification will be necessary for the firm to spread its overhead.
D) diseconomies of scale become significant as its output increases.
E) its variable cost of production will exceed its fixed costs.

Correct Answer:

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