Westen help Suppose a company with high operating leverage is also operating at near capacity for all its fixed-cost resources. How could an increase in sales volume result in decreasing economies of scale for this company? ec 14 O A. An increase in demand for a company's products will drive almost all other cost-driver levels higher. This will cause cost drivers to exceed capacity or the upper end of the relevant range for its fixed-cost resources. The fixed costs will then be spread out over the increased demand, and thus cost per cost-driver unit may decrease O.B. An increase in demand for a company's products will not drive cost-driver levels higher. This will cause cost drivers to stay near capacity without exceeding capacity. Since fixed-cost resources must be purchased in "chunks" of capacity and the capacity level has not changed, the cost per cost-driver unit will remain the same OC. An increase in demand for a company's products will drive almost all other cost-driver levels higher. This will cause cost drivers to exceed capacity or the upper end of the relevant range for its fixed-cost resources. Since fixed-cost resources must be purchased in "chunks" of capacity, the proportional increase in cost may exceed the proportional increase in the use of the related cost-criver. Thus cost per cost-driver unit may increase OD. An increase in demand for a company's products will drive a small number of cost-driver levels higher. This will cause cost drivers to slight rise, but not exceed capacity or the upper end of the relevant range for its fixed-cost resources. Thus cost per cost-driver unit will remain the same