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2. State whether the following rms are experiencing economies of scale or diseconornies of scale. a. West Company can produce 1,500 units at an average
2. State whether the following rms are experiencing economies of scale or diseconornies of scale. a. West Company can produce 1,500 units at an average total cost of $2.50 or 1,800 units at an average total cost of $2.25. b. North Companyr can produce 500,000 units at a total cost of $240,000 or 600,000 units at a total cost of $275,000. c. Iarns can produce 10,000 bags of dog food at a total cost of $150,000. If they increase their production by 7%, total costs will rise by 3%
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