Imagine yourself running a pizza restaurant over a short term horizon. Think about the following potential changes in your costs. For each, try to discern which would affect your fixed costs from those that are variable costs. Specifically, how would each scenario shift your Average Variable Cost, Marginal Cost, and Average Total Cost curves? Explain your answers.
a. The wages of hourly workers increase
b. The cost of cheese increases
c. The rent on the building housing your restaurant increases
d,. The price of gasoline (for pizza delivery) decreases