Minneapolis Business Rogue Chocolatier Sells Specialty Chocolate Bars with a High

Multiple Choice

Minneapolis business Rogue Chocolatier sells specialty chocolate bars with a high cocoa content. The price of cocoa beans had shot up 44 percent in the first nine months of 2008. How does this affect Rogue's short run costs?

A) Short run variable costs would increase.
B) Short run fixed costs would decrease.
C) Short run total costs would decrease.
D) Short run average fixed costs would increase.