Other things equal,if the fixed costs of a firm were to increase by $100,000 per year,which of the following would happen?

A) Marginal costs and average variable costs would both rise.
B) Average fixed costs and average variable costs would rise.
C) Average fixed costs and average total costs would rise.
D) Average fixed costs would rise,but marginal costs would fall.

Fixed Costs

Expenses that remain constant regardless of the level of outputs, like lease payments or property taxes.

Marginal Costs

The upsurge in complete costs linked to the production of a supplementary unit of a good or service.

Average Variable Costs

The total variable costs of production divided by the quantity of output produced, representing the variable cost per unit of output.