Problem 1 A firm in a perfectly competitive market is considering a product market, and estimates of its cost function are as shown below. If the market price of the product is currently $120, (a) What is the quantity to produce that leads to the highest profit? (b) As this quantity, what is the total profit? (c) Should the firm enter this market? Quantity Avg. Cost 75 $ 150.00 76 $ 149.00 77 $ 148.20 78 $ 147.50 79 $ 147.00 80 $ 146.80