An Increase in Variable Costs

Multiple Choice

An increase in variable costs:

A) will result in the firm's marginal, average total, and average variable cost curves shifting upward by less than the cost increase.
B) will result in the firm's marginal, average total, and average variable cost curves shifting upward by the amount of the cost increase.
C) will shift the industry supply curve upward (to the left) by a smaller amount.
D) will shift the industry supply curve upward (to the left) by a larger amount.