Which of the Following Will Cause the Average Fixed Cost

question 78

Multiple Choice

Which of the following will cause the average fixed cost curve of making cigarettes to shift?

• A) a $5 million penalty charged to each cigarette maker
• B) a $1 per pack tax on cigarettes
• C) a $3 per hour wage increase
• D) an increase in the demand for cigarettes

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Definitions:

Chewing Gum

A soft, cohesive substance designed to be chewed without being swallowed, often used to freshen breath and aid in oral cleanliness.

OSHA

The Occupational Safety and Health Administration is an agency of the U.S. government tasked with the responsibility to guarantee both safe and healthy conditions in the workplace.

Clearance Space

The minimum distance or space required for safety or accessibility between two objects or structures.

Wheelchair

A chair mounted on wheels, used by individuals who are unable to walk due to illness, injury, or disability.