A firm in a perfectly competitive industry is currently producing 1,400 units per day at a total cost of $600. If the firm produced 1,200 units per day, its total cost would be $400, and if it produced 900 units per day, its total cost would be $375.

a. What are the firm's ATC per unit at these three levels of production?

At 1,400 units per day, ATC = $.

At 1,200 units per day, ATC = $.

At 900 units per day, ATC = $.

b. If every firm in this industry has the same cost structure, is the industry in long-run competitive equilibrium?

(Click to select)

No

Yes

.

c. From what you know about these firms' cost structures, what is the highest possible price per unit that could exist as the market price in long-run equilibrium?$.

d. If the price in part c ends up being the market price and if the normal rate of accounting profit is 10 percent, then how big will each firm's accounting profit per unit be?cents per unit.