-Refer to the Graph Above to Answer This Question

Multiple Choice

-Refer to the graph above to answer this question.All of the following statements except one are correct.Which is the exception?

A) Plant 1 has excess capacity at output level Q₁.
B) Output level Q₃ is economic capacity for plant size 1.
C) Output level Q₃ can be produced for the same cost in plant 1 and in plant 2.
D) Plant 2 achieves minimum efficient scale.
E) Increasing returns to scale are experienced when output is increased from Q₁ to Q₄.