The company said the higher cash cost in 2012 was due to lower byproduct revenue at LaRonde, higher costs at Meadowbank and the absence of production from the relatively lower cost Goldex mine.
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Economies of scale are the cost savings associated with a larger production size of certain product, the larger the production scale, the lower the per unit product cost.
Economies of scale are the cost savings associated with a larger production scale (size) of certain product, the larger the production scale, the lower the per unit product cost.
Prices of drugs, of course, are difficult to evaluate, since the cost of production of a given dose is often far lower than the final cost in a pharmacy or doctor's office.
But we believe that mass production will lower the cost, as with personal computers, mobile phones, and regular automobiles.
Moreover, as the yuan strengthens against the dollar, some Chinese and US multinationals manufacturing there could shift production to lower cost countries, meaning the overall trade deficit would not be changed, the US China Business Council said.
It has also led to a massive surfeit of CO2 emissions permits, pushing the price of carbon, and therefore the cost of coal production, sharply lower.
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Ironically, to counteract this, the Big Three automakers have increasingly moved production from the U.S. to lower-labor-cost countries like Mexico.
But Android devices, many of which are built to a specified cost and occupy the lower end of the price scales, will have less room to absorb around an increased production cost.
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Costs for producing oil from shale are even lower in relation to the total cost of such oil production.
It continues to curtail production in a bid to move lower on the cost curve, completing partial efforts in Spain and getting underway in Italy, as well as permanently closing a smelter in Tennessee and two lines in Texas.
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Apple suppliers have reportedly began production on parts for a smaller tablet that will likely compete with the lower-cost, smaller tablets from the likes of Amazon (NASDAQ:AMZN), Samsung, and others.
Greater production efficiencies and higher production volumes led to lower cost, enabling some ability to lower prices but the ability of the industry to sustain unit growth as well as storage capacity growth to match the needs of content hungry users and protect itself from competing technologies is threatened by the relentless drop in HDD ASPs.
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The increase in cash cost per ton was due largely to fixed costs being spread over lower than expected production, as well as higher sales related costs related to higher average sales prices.
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Thanks mainly to low overhead, tight cost controls and mass production, the company was able to keep Serum's vaccines priced lower than its competitors'.
Shares in Barrick Gold fell hard on Thursday after the company posted earnings that revealed a top and bottom-line miss, lower guidance on gold production and higher cash cost forecasts.
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