The Following table shows total cost (TC) of a kid selling lemonade, where the lemonade market is considered "Competitive" market. Answer all following questions:

Quantity of Output

Total Cost $

0

5

1

8.5

2

15

3

22

4

30.5

5

45.5

a.What are the conditions of Perfect Competition?

b.What does "Price Taker" mean?

c.If the market price is $8.50, what is the profit-maximizing output? Explain.

d.If the market price is $8.50, calculate the economic profit (loss)?