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Standard XII
Business Studies
Question
When a firm grows so large that it becomes very difficult to manage, it is called:
Diseconomies of scale.
Economies of scale.
External economies.
Internal economies.
A
Economies of scale.
B
Diseconomies of scale.
C
External economies.
D
Internal economies.
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Solution
Verified by Toppr
The correct option is
A
Diseconomies of scale.
Diseconomies refer to something which is economically not manageable and occurs loss for the business.
Hence, option A is correct.
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