Please answer with explanation

Check Your Understanding 1. Alicia's Apple Pies is a roadside business. Alicia must pay $9.00 b. Indicate the range of pies for which the spreading effect in rent each day. In addition, it costs her $1.00 to produce the dominates and the range for which the diminishing returns first pie of the day, and each subsequent pie costs 50% more to effect dominates. produce than the one before. For example, the second pie costs c. What is Alicia's minimum-cost output? Explain why $1.00 x 1.5 = $1.50 to produce, and so on. making one more pie lowers Alicia's average total cost a. Calculate Alicia's marginal cost, variable cost, average fixed when output is lower than the minimum-cost output. cost, average variable cost, and average total cost as her daily Similarly, explain why making one more pie raises pie output rises from 0 to 6. (Hint: The variable cost of two Alicia's average total cost when output is greater than the pies is just the marginal cost of the first pie, plus the minimum-cost output. marginal cost of the second, and so on.)