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The government imposes a $1,000 per year license fee on all pizza restaurants. Which cost curves shift as a result? ( )

A. average total cost and average fixed cost
B. average variable cost and marginal cost
C. average variable cost and average fixed cost

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A firm is producing 1,000 units at a total cost of $5,000. If it were to increase production to 1,001 units, its total cost would rise to $5,008. What does this information tell you about the firm?（）

A. Marginal cost is $5, and average variable cost is $8.
B. Marginal cost is $8, and average variable cost is $5.
C. Marginal cost is $5, and average total cost is $8.
D. Marginal cost is $8, and average total cost is $5.

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A firm is producing 20 units with an average total cost of $25 and marginal cost of $15. If it were to increase production to 21 units, which of the following must occur? ( )

A. Marginal cost would decrease.
B. Marginal cost would increase.
C. Average total cost would decrease.
D. Average total cost would increase.

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Raj opens up a lemonade stand for two hours. He spends $10 for ingredients and sells $60 worth of lemonade. In the same two hours, he could have mowed his neighbor’s lawn for $40. Raj has an accounting profit of ( ) and an economic profit of( ).

A. $50, $10
B. $90, $50
C. $10, $50
D. $50, $90

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Raj opens up a lemonade stand for two hours. He spends $20 for ingredients and sells $80 worth of lemonade. In the same two hours, he could have mowed his neighbor’s lawn for $40. Raj has an accounting profit of （） and an economic profit of（ ).

A. $60, $20
B. $100, $60
C. $20, $60
D. $60, $100

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The government imposes a $1,000 per year license fee on all pizza restaurants. Which cost curves shift as a result? ( )

A. average total cost and average fixed cost B. average variable cost and marginal cost C. average variable cost and average fixed cost

A firm is producing 1,000 units at a total cost of $5,000. If it were to increase production to 1,001 units, its total cost would rise to $5,008. What does this information tell you about the firm?（ ）

A firm is producing 20 units with an average total cost of $25 and marginal cost of $15. If it were to increase production to 21 units, which of the following must occur? ( )

Raj opens up a lemonade stand for two hours. He spends $10 for ingredients and sells $60 worth of lemonade. In the same two hours, he could have mowed his neighbor’s lawn for $40. Raj has an accounting profit of ( ) and an economic profit of( ).

Raj opens up a lemonade stand for two hours. He spends $20 for ingredients and sells $80 worth of lemonade. In the same two hours, he could have mowed his neighbor’s lawn for $40. Raj has an accounting profit of （ ） and an economic profit of（ ).

A. average total cost and average fixed cost
B. average variable cost and marginal cost
C. average variable cost and average fixed cost

A firm is producing 1,000 units at a total cost of $5,000. If it were to increase production to 1,001 units, its total cost would rise to $5,008. What does this information tell you about the firm?（）

Raj opens up a lemonade stand for two hours. He spends $20 for ingredients and sells $80 worth of lemonade. In the same two hours, he could have mowed his neighbor’s lawn for $40. Raj has an accounting profit of （） and an economic profit of（ ).