Arrange the following statements in chronological order in respect to the impact of a unit tax on supply:

(A) Imposition of unit tax increases the price of commodities.
(B) Increased prices will lead to an increase in LRAC and LRMC.
(C) The firm's long run supply curve shifts to the left.
(D) At any given market price, the firm supplies fewer units of output.

Choose the correct answer from the options given below:

(A), (B), (C), (D)

The correct answer is Option (1) → (A), (B), (C), (D)

(A) Imposition of unit tax increases the price of commodities. This is the initial event. When a unit tax (a fixed tax per unit of output) is imposed, it increases the cost of production, which gets reflected in higher prices of goods.

(B) Increased prices will lead to an increase in LRAC and LRMC. As a result of the unit tax, the Long-Run Average Cost (LRAC) and Long-Run Marginal Cost (LRMC) of firms rise, because each unit now includes an additional tax cost.

(C) The firm's long-run supply curve shifts to the left. Due to the increase in costs, firms are less willing to supply the same amount at previous prices, leading to a leftward shift of the long-run supply curve.

(D) At any given market price, the firm supplies fewer units of output. With the shift in supply curve, for any given price, the firm will now produce and supply fewer units, showing the final impact of the tax.