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In the city of Dubuque, there is only one bakery, Milwork Bakery which specializes in artisan European bread

Economics

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In the city of Dubuque, there is only one bakery, Milwork Bakery which specializes in artisan European bread. The bakery's delicious European breads originated from recipes passed down from its generation of bakers over hundreds of years. Milwork Bakery's price, cost and sales per day are given in the table below. Quantity Price TR TC MR MC ATC 20 5.6 100 40 5.2 200 60 4.8 276 80 4.4 336 100 4 384 120 3.6 436 140 3.2 496 160 2.8 566 180 2.4 646 a) Copy the whole table in your answer booklet and fill in the missing values. Use different ink or highlight your answer. (9 marks) b) State the profit-maximizing condition. How many breads and at what price should the bakery sell in a day to maximize profits? (4 marks) c) Sketch the profit maximizing graph and label the profit maximizing output and price. Shade the profit area (6 marks)