B. In the short-run, what will be the profit-maximizing output level for Laylas business? What will be the profit or loss at this output level? Explain your reasoning.

C. Is this considered a long-run equilibrium for the market for plants? If not, what will be the price of a plant pot in the market in the long-run? Explain your reasoning.

D. Suppose that Layla is considering to only open her store during the evening as she does not get many customers during the morning and afternoon. Will it be a wise decision for Layla to shut down her business during this time? Explain your reasoning.

Question 2: Layla recently opened her own plant store in Jeddah. There are many other plant stores in the city selling identical plants. Her variable costs consist of the cost of labor and supplies as shown in the Table 1 below. The price at which Layla can sell each plant pot is SR 6. As her economic advisor, you are required to answer the below questions to help make Layla make the right decisions for her business. Table 1: Layla's Quantities & Costs Quantity of plant pots sold per day 0 Total cost for labor and supplies (SR) 0 10 50 20 80 130 30 40 50 200 290 400 60 A. Using the table below, identify Layla's total cost, average total cost, average variable cost and marginal cost. Q VC TC ATC AVC MC 50 N/A N/A N/A 0 0 10 50 50 5 5 10.00 20 80 130 6.50 4.00 3.00 30 130 180 6.00 4.33 5.00 40 200 5 250 6.25 7.00 50 290 290 340 6.80 5.80 9.00 60 400 450 7.50 6.67 11.00