Post Utme Bsu 2019 Commerce Question 36

Practice objective / multiple choice question 36 from the 2019 Post Utme Bsu Commerce examination.

Post Utme Bsu 2019 Commerce Objective / Multiple Choice
Question 36 POST_UTME_BSU • 2019 • COMMERCE • objective

A firm specializes in producing a single product. This specialization allows the firm to achieve economies of scale in production. However, it also limits the firm's ability to respond to changes in market demand. What is the term for this limitation?

Answer Options

A. Economies of scale
B. Limited diversification
Correct Answer C. Inflexibility in production
D. High fixed costs
Correct Answer
C
Correct Option:
Inflexibility in production

About This Question

This is Post Utme Bsu 2019 Commerce Question 36. It is one of the objective questions from the 2019 Post Utme Bsu Commerce examination.

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