The graph on this page shows the demand, marginal revenue, and cost curves for a firm that produces wydgets. The vertical axis measures the price and the cost of a wydget and the horizontal axis measures the quantity of wydgets produced and sold, in thousands per year. The firm is the sole producer of wydgets and there are barriers that keep other firms from entering the market. Use the graph to determine the following: P, C ($) 12 IMC 10- LATC 8 - -D 10 12 14 16 18 Q/t 1. Does this firm sell in a perfectly competitive market? How do you know? 2. What quantity would this firm choose to produce if it wanted to maximize its profit or minimize its loss? Why? a. What price would the firm charge? Why? 3. If the firm makes the choices given in part 2, calculate the firm's a. Total revenue b. Total cost c. Profit (or loss) 4. Draw and label a rectangle on the graph to represent the firm's profit or loss