Cost dolars per printer Draw the fems average total cost cur

Cost (dolars per printer) Draw the fem\'s average total cost curve with no advertising Label it ATC Draw the fem\'s average total cost curve with advertising Label it ATC If a fiem\'s advertising campaign is successful and its compettors respond by increasingtheit advertsng, the frm\'s OA. total cost decreases, but the demand for its product will become more nelastic O B total cost ncreases, but the frm wu increase its markup C. otl fed cost increases, but marginal cost does not increase as the fm ncreases production O D. total cost ncreases, but the demand for its product may become more elastc Quantity (printers per day) Draw only the objects specified in the question Cick the graph, choose a tool in the paleie and tollow the instructions to create your graph DOLL

Solution

D) total cost increases, but the demand for its product may become more elastic.Because a successful advertising campaign may allow a firm to sell either a greater quantity or to charge a higher price, or both, and thus increase its profits.