2. Ball Bearings, Inc., faces costs of production as follows: Total Total Average Average Average Fixed Variable Fixed Variable Total Marginal Quantity Output Cost Cost Cost Cost Cost Cost O 100 0 20 100 50 100 50 150 50 50 100 70 50 35 85 20 90 100 90 33 30 63 20 120 100 140 25 35 60 50 140 100 200 20 40 60 60 150 100 360 17 60 77 160 (a) The price of a case of ball bearings is $50. Seeing that the firm can't make a profit, the chief executive officer (CEO) decides to shut down operations. What is the firm's profit/loss? Was this a wise decision? Explain. (b) Vaguely remembering an introductory economics course, the chief financial officer tells the CEO it is better to produce 1 case of ball bearings, because marginal revenue equals marginal cost at that quantity. What is the firm's profit/loss at that level of production? Was this the best decision? Explain