2) Assume a single firm in a perfectly competitive industry has variable costs as indicated in the following table in column 2.

a. Complete the table. (10 Marks for the table)

Total Product	Total Variable Cost ($)	Total Fixed Cost ($)	Total Cost	Average Fixed Cost	Average Variable Cost	Average Total Cost	Marginal Cost
0	0	40
1	55	40
2	75	40
3	90	40
4	110	40
5	135	40
6	170	40
7	220	40
8	290	40

b. At a product price of $52, will this firm produce in the short run? Explain. What will be its profit or loss? (Show your calculations) (4 Marks)