In a perfectly competitive industry the market price is $12. A firm is currently producing 50 units of output; average total cost is $10, marginal cost is $15, and average variable cost is $7 

a. Is the firm making the proit-maximizing decision? Why or why not? If not, what should the firm do? 

b Consider another firm in a perfectly competitive industry that faces a market price of $25. This firm is producing 10,000 units of output, and average total cost, which at its minimum value, is $25. Answer part a for this firm