Use the Following to Answer Question

question 15

Multiple Choice

Use the following to answer question:
-(Figure: Budget Lines for Tea and Scones) Use Figure: Budget Lines for Tea and Scones.For months now,Agnes has had $20 per month to spend on tea and scones.The price of each cup of tea and each scone has been $1.Which chart shows what will happen to her budget line if the price of a scone rises to $2?

• A)A
• B)B
• C)C

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Definitions:

Production Costs

The total expense incurred in the manufacture of a product, including materials, labor, and overhead.

Residual Reward

The reward or profit remaining after all the costs have been deducted.

Business Decision Makers

Individuals or groups within an organization responsible for analyzing situations and making choices that affect the organization's direction and success.

Resources

Assets, materials, and inputs needed for the production of goods and services, including human resources, natural resources, and capital resources.