Assume that the cost data in the top table of the next column are for purely competitive producer: *TP= Total Product; *AFC= Average fixed Cost; *AVC= Average Variable Cost; *ATC= Average Total Cost; *MC= Marginal Cost TP AFC AVC ATC MC 0 1 $60.00 $45.00 $105.00 $45.00 2 $30.00 $42.50 $72.50 $40.00 3 $20.00 $40.00 $60.00 $35.00 4 $15.00 $37.50 $52.50 $30.00 5 $12.00 $37.00 $49.00 $35.00 6 $10.00 $37.50 $47.50 $40.00 7 $8.57 $38.57 $47.14 $45.00 8 $7.50 $40.63 $48.13 $55.00 9 $6.67 $43.33 $50.00 $65.00 10 $6.00 $46.50 $52.50 $75.00

A). At a product price of $56, will this firm produce in short-run? If it is preferable to produce, what will be the profit-maximizing or loss-minimizing output? What economic profit or lose will the firm realize per unit of output?

B). Answer the question of 4a (above question) assuming the product price is $41.

C). Answer the question of 4a assuming the product price is $32.

D). In the table below, complete the short-run supply schedule for the firm and indicate the profit or loss incurred at each output *QS/SF= quantity supplied, single firm; *Pr. Or Loss= Profit or Loss; *QS/1500 F= quantity supplied, 1500 firms Price QS/SF Pr. Or Loss QS/1500 F $26.00 $32.00 $38.00 $41.00 $46.00 $56.00 $66.00.