6. Study Questions and Problems #6 Assume that the blue line labeled LRAC0 on the following graph is the current long-run average cost of a firm doing no advertising. The orange line labeled LRAC1 and the purple line labeled LRAC2 are other possible long-run average costs for the firm. 0 1 2 3 4 5 6 7 8 9 10 10 9 8 7 6 5 4 3 2 1 0 PRICE (Dollars) QUANTITY (Units) LRAC 0 LRAC 1 LRAC 2 True or False: Advertising will cause an downward shift of the firm's average cost curve to LRAC2 . True False Suppose that the advertising is effective, and the firm goes from selling 3 units to selling 5 units per day. The long-run average cost for selling 5 units will be the average costs of selling 3 units