Decision trees are commonly used to illustrate how firms make business decisions that depend on the actions of rival firms. A decision tree has boxes that contain points that represent when firms must make the decisions contained in the boxes

Consider a market that is initially in equilibrium with quantity demanded equal to quantity supplied at a price of $20. If the world price of the good is $10 and the country opens up to international trade then in this market then

A) imports will increase, the price will fall, and the quantity supplied will fall. B) exports will increase, the price will be unchanged, and the quantity supplied will increase. C) imports will increase, the price will decrease, and the supply curve will shift to the left. D) the quantity demanded will decrease, the quantity supplied will decrease, and the price will decrease.

In the above figure, the line represented by the "1" is the

A) average fixed cost. B) marginal revenue. C) total cost. D) average total cost.