Question: At a certain output level, the cost per unit incurred by a firm to manufacture a product was $80. Once the cumulative output doubled, the

At a certain output level, the cost per unit incurred by a firm to manufacture a product was $80. Once the cumulative output doubled, the cost per unit reduced to $72. This effect of the greater output amount on the lower cost per unit may be attributed to all of the following factors except:

  1. The firm is able to spread marketing costs over more units of production.

  2. The firm uses a different business model.

  3. Employees gain greater learning and experience at production.

  4. The firm is able to spread rental costs over more units of production.

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