- Created by: skyblue97
- Created on: 17-04-14 15:34
CAPACITY AND UNIT COST
UNIT COST is the average cost per unit of output.
ECONOMIES OF SCALE is when a firm increases their output and their unit costs fall. Reasons for this may include:
- Bulk buying
- Specialist managers
Ideal capacity utilisation is near 100% because...
- You get…