3) Monopolistic Competition: Graph (4 points) The graph to the right shows cost curves, demand, and marginal revenue for a cell phone producer in a monopolistically competitive market. Price a. What is the firm's profit maximizing $320 output level? MC $280 $240 ATC What price will the firm charge? $200 $160 b. What is the firm's profit (or loss) per- $120 unit? $80 $40 What is the firm's total profit (or loss)? MR Label this area on the graph and 0 10 20 30 40 50 60 70 80 90 calculate. Smartphones (millions) c. What will happen to this industry in the long-run, and this firm's profits? As we did in the previous problem, specifically outline each step of the process -what will happen to the number of firms in the market. each firm's demand curve, and those firms' profits