Which of the Following Statements Is True About Economies of Scale

Multiple Choice

Which of the following statements is true about economies of scale?

A) Economies of scale lead to an increase in the average unit cost of a product.
B) Attaining economies of scale increases a firm's profitability.
C) The ability to spread variable costs over a large volume is a source of economies of scale.
D) Economies of scale result due to the increase in the perceived value of a product.
E) Economies of scale refer to cost savings that come from learning by doing.