Quiz #1 Economies of scale

Bowen and Bowen is a large company that is able to buy sugar in bulk and therefore enjoys from

• technical economies of scale.

• managerial economies of scale.

• welfare economies of scale.

• marketing economies of scale.

Large companies that offer health insurance to their employees along with free or subsidized meals enjoy of

• welfare economies of scale.

• economies in the use of labor.

• marketing economies of scale.

• managerial economies of scale.

When companies are able to easily have access to bank loans at low interest rates they are said to enjoy from

• marketing economies of scale.

• technical economies of scale.

• managerial economies of scale.

• financial economies of scale.

ASR is a large company that owns a harvester to harvest their cane. Therefore, they do not depend on cane cutters. This is an example of

• managerial economies of scale.

• technical economies of scale.

• financial economies of scale.

• economies in the use of labor.

Companies like MaryKay and CeraVe can afford to hire scientists and top innovators to create and develop new products. These companies enjoy of

• marketing economies of scale.

• financial economies of scale.

• research and development economies of scale.

• welfare economies of scale.

Companies such as BEL and Digicel have different departments in charge of specific tasks. Each department is led by highly qualified individuals which are well paid. Therefore, these companies benefit from

• marketing economies of scale.

• managerial economies of scale.

• welfare economies of scale.

• labor.

Belcogen uses the bagasse from ASR to produce electricity. This is an example of

• welfare economies of scale.

• economies in the use of labor.

• use of waste products.

• agglomeration .