suppose that tommy hilfigers marginal cost of a jacket is constant $100 and the total fixed cost at one in stores is $2000 a day this store sells 20 jackets a day, which is it profit maximizing number of jackets then the stores nearby start to advertise their jacket the tommy hilfiger store now spend $2000 a day advertising its jacket and its profit maximizing number of jacket sold jumps to 50 a day

13.a) what is this stores average total cost of a jacket sold before the advertising begins?

b) what is this stores average total cost of a jacket sold after the advertising begins?

14.a) can you say what happen to the price of a tommy hilfiger jacket? why or why not?

b)can you say what happens to tommy's markup ? why or why not?

c)can you say what happens to tommy's economic profit ? why or why not?