Redraw this graph of cost curves on a separate sheet of paper. The only dashed line you are required to add is the dashed line between the cost axis and the point where ATC intersects MC at $7. You may draw it as a full line (not dashed) and label it Marginal Revenue (MR). However, because there are now both revenue and costs represented on the vertical axis you need to change the axis label to "Revenue and Costs.": 1) How many units should be produced to maximize profits (knowing that the profit maximizing equation is the point where marginal revenue = marginal costs)? 2) What does the new horizontal (marginal) revenue line mean? (What I'm asking is: what is marginal revenue for 40, units, 60 units, for 75 units ?