Forums Economics Assignment Help GCSE buy raw materials in bulk at a reduced average cost from its suppliers

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  • #16060
    nammy
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    A firm is able to buy raw materials in bulk at a reduced average cost from its suppliers. This is an example of:
    A. Diseconomies of scale
    B. Managerial economies of scale
    C. Purchasing economies of scale
    D. Technical economies of scale

    #16061
    nammy
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    Answer: C- Purchasing economies of scale
    Reason: Purchasing economies when large businesses often receive a discount because they are buying in bulk.

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