Refer to Figure 5

question 10

Multiple Choice

Refer to Figure 5.1.In which graph could a shift from BL1 to BL2 represent a doubling of the prices of both Books and DVDs?

• A) A
• B) B
• C) C
• D) D

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Definitions:

Direct Materials

Raw materials that are directly used in the manufacturing of a product, easily traceable to the goods being produced.

Administrative Costs

Expenses related to the general operation of a business, such as salaries of executive personnel, office supplies, and utilities.

Cost Accounting Systems

Systems used by businesses to track, record, and analyze costs associated with their operations, with the aim of improving efficiency and profitability.

Accumulate Production

This term may not be standard; however, it could refer to the process of compiling or aggregating the total output of goods or services produced over a period.