Kate's Catering provides catered meals, and the catered meals industry is perfectly competitive. All firms in the market have the same cost of production. Kate's machinery costs RMB 50 per hour and is the only fixed input. Her variable cost consists of wages paid to the cooks and the food ingredients. The variable cost per hour associated with each level of output is given in the following table. a. ( 8 marks) Calculate the total cost, the average variable cost, the average total cost and the marginal cost for each quantity of output. b. ( 2 marks) Suppose that the price at which Kate can sell catered meals is 32 per meal. In the short-run, how many meals does Kate sell? What is the profit? c. ( 2 marks) Suppose that in the long run there is free entry and exit. Is P=32 a long-run equilibrium price? Why or why not? d. (6 marks) Suppose that the price at which Kate can sell catered meals is $22 per meal. In the short run, will Kate earn a profit? In the short run, or will it shut down? If not, how many meals does Kate sell? Is P=22 a long-run equilibrium price? Why or why not? e. (4 marks) Suppose that the price at which Kate can sell catered meals is $27 per meal. In the short run, will Kate earn a profit? In the short run, how many meals does Kate sell