Start learning →

Which driver explains why a small cargo vessel costs more per unit than a large bulk carrier?

ACapacity utilisation
BEconomy of scale
CWage inflation
DProduct linkages
Answer & Solution
Correct answer: B. Economy of scale
The larger carrier spreads cost over more tonnage, which is the economy of scale driver at work.
Practise this question with Quill — CA Final →

Keep practising Strategic Cost Management and Emerging Business Models

Browse all Strategic Cost Management and Emerging Business Models questions for CA Final, or explore more Cost and Management Accounting topics.

Start a Strategic Cost Management and Emerging Business Models lesson →
Related questions