Emma sells hand-made shawls in a perfectly competitive market for 18 per shawl. Emma's fixed costs are 10, and she is capable of producing up to 6 shawls per week. (10%)

(a) Use that information to fill in the table below. (Hint: Thevariable cost of the first unit of production equals its marginal cost and total variable cost is simply the sum of the marginal costs up of the units of production up to any particular quantity of output)

(b) What quantity of shawls should Emma produce in order to maximize her profit?

(c) At the profit-maximizing level of output, how do marginal revenue and marginal cost compare?

(d) Suppose that Emma's fixed cost suddenly falls to 7. How should Emma alter her production to account for this sudden decrease in cost?