Which of the following is part of an economic model?

When costs are uncertain, a government might use a _____ contract, where the government pays the cost of the project plus an additional amount

a. fixed fee b. cost plus fixed fee c. cost plus percentage fee d. cost plus incentive fee

If producing more output increases average cost then

A) there are diseconomies of scale. B) there are economies of scope. C) there are diseconomies of scope. D) there are no economies of scale.