Refer to the graph below. Which of the output levels is the profit-maximizing output level for this firm?

After constructing a new factory, the cost of building the factory is a

A) past cost. B) sunk cost. C) variable cost. D) None of the above answers are correct.

Energy drinks and granola bars are normal goods. When the price of energy drinks decreases, the income effect causes a

a. shift to a lower indifference curve, and the consumer buys fewer granola bars. b. shift to a higher indifference curve, and the consumer buys more granola bars. c. movement along the indifference curve, and the consumer buys fewer granola bars. d. movement along the indifference curve, and the consumer buys more granola bars.