Please review and answer the following:

Consider the perfectly competitive market for dress shirts. The following graph shows the marginal cost ( MC ), average total cost (ATC ), and average variable cost (AVC ) curves for a typical firm in the industry. 80 72 64 0 56 COSTS (Dollars) 48 40 ATC 32 24 16 AVC MC 8 16 32 40 48 56 64 72 80 QUANTITY (Thousands of shirts)For each price in the following table, use the graph to determine the number of shirts this rm would produce in order to maximize its prot. Assume that when the price is exactly equal to the average variable cost, the rm is indifferent between producing zero shirts and the prot-maximizing quantity. Also, indicate whether the rm will produce, shut down, or be indifferent between the two in the short run. Lastly, determine whether it will make a prot, su'er a loss, or break even at each price. Price Quantity (Dollars per shirt) (Shirts) Produce or Shut Down? Profit or Loss? 4 v v v 8 V v v 12 v v v 36 v v v 48 v v v 60 v v v On the following graph, use the orange points (square symbol) to plot points along the portion of the firm's short-run supply curve that corresponds to prices where there is positive output. (Note: You are given more points to plot than you need.) 80 -0 72 64 Firm's Short-Run Supply PRICE (Dollars per shirt) 56 48 40 32 24 16 CO 8 16 24 32 40 48 56 64 72 80 QUANTITY (Thousands of shirts) Suppose there are 9 firms in this industry, each of which has the cost curves previously shown.On the following graph, use the orange points (square symbol) to plot points along the portion of the industry's short-run supply curve that corresponds to prices where there is positive output. (Note: You are given more points to plot than you need. ) Then, place the black point (plus symbol) on the graph to indicate the short-run equilibrium price and quantity in this market. Note: Dashed drop lines will automatically extend to both axes. 80 Demand 72 64 Industry's Short-Run Supply PRICE (Dollars per shirt) 56 48 Equilibrium 40 32 24 16 Co 0 0 72 144 216 288 360 432 504 576 648 720 firms will neither enter nor exit QUANTITY (Thousands of shirts) some firms will enter some firms will exit Produce or At the current short-run market price, firms will Shut Down _ in the short run. In the long run