The Cost to Manufacture One Unit of Rinker Audio Products

Multiple Choice

The cost to manufacture one unit of Rinker Audio Products' bestselling hearing aid,the Magnifier,is $87.50.The CFO of the company,Neha Patel,has determined that if the company expands the output of its biggest U.S.plant by 20 percent,the unit cost would be only $82.50.The concept that as plant output expands,unit costs decrease,is known as

A) minimum efficient scale.
B) lean production.
C) Six Sigma.
D) economies of scale.
E) total quality management.