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Table 17-4 Beatrice's Birthday Cakes operates in a monopolistically competitive market, so it is one bakery among many in the market for birthday cakes. The

Table 17-4 Beatrice's Birthday Cakes operates in a monopolistically competitive market, so it is one bakery among many in the market for birthday cakes. The following table presents cost and revenue data for birthday cakes at Beatrice's. Costs Revenues Quantity Supplied (Units) Total Cost (Dollars) Marginal Cost (Dollars) Quantity Demanded (Units) Price (Dollars per Unit) Marginal Revenue (Dollars) Total Revenue (Dollars) 0 25 0 60 1 28 1 54 2 32 2 48 3 37 3 42 4 43 4 36 5 50 5 30 6 58 6 24 7 67 7 18 8 77 8 12 Refer to Table 17-4. What is the profit-maximizing output for Beatrice's Birthday Cakes? a. 6 cakes b. 4 cakes c. 5 cakes d. 3 cakes

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