Pete's Package Delivery Service currently makes deliveries only within the state, but now decides to expand the scale of its operation by serving the neighboring state as well. It is likely to find

a. total variable costs decline as diminishing returns set in
b. total fixed costs decline as more trucks cover a wider area
c. total variable costs rise as more fuel and drivers are needed
d. the price of hiring a worker falls as more workers are hired
e. profits rise as total costs remain constant

C