For years, Pinnacle Roofing has been getting nails from its supplier at a rate of $10 per 2,000 nails. The supplier has just informed Pinnacle that the price of nails is going up to $11 per 2,000 nails. As a result, Pinnacle’s average total cost of operation will ______.

a. be higher
b. be lower
c. not change
d. be unpredictable

a. be higher

Economics

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