Question

Which of the following actions has the best potential for experiencing economies of scope?

a. producing spaghetti and soft drinks

b. producing computers and software

c. producing a product that has appeal to a wider segment of the market

d. producing cars and trucks

Answer 1

Correct option is D.

Producing cars and trucks

Step-by-step explanation:

Economies of scope is an economic theory stating that the average total cost of production decreases as a result of increasing the number of different goods produced. Here car and trucks are similar types of objects.