The graph to the right depicts the demand for cat'fe lattes at a local coffeehouse along with the average total cost and marginal cost of producing lattes. Suppose the cotfeehouse is in a monopo short run. How many calfe lattes should this coffeehouse produce to maximize prots? using an integer.) istically competitive market in the units. {Enter a numeric response What is the corresponding prot-maximizing price? 5 per latte. (Eniera numeric response using a real number rounded to two decimal places.) Calculate the ooffeehouse's prots on Gaffe lattes. $ . (Enter a numeric response using a real number rounded to two decimal places.) st (dollars per cup) '0 O Pn'ce and co _\\._| #0) mo 1.21 ' 38 95 Quantity of Gaffe lattes (per day) Suppose a monopolistically competitive firm sells a particular brand of jeans. The quantities of jeans sold per day at various prices are shown in the table below. Fill in total revenue and marginal revenue in the table below. (Enter your responses as integers.) Output Price Total Revenue Marginal Revenue 0 $90.00 85.00 $ 2 80.00 3 75.00 4 70.00 5 65.00 The marginal revenue curve for this firm is its demand curve. below the same as aboveA fast-food restaurant decides to raise the price of its hamburgers. Assume the rm is in a monopolistically competitive industry. What will happen to the demand for its hamburgers? When the fast-food restaurant raises the price of hamburgers, O A. all of its customers will be willing to pay the higher price because this restaurant is close to them. Q B. all of its customers will be willing to pay the higher price because this restaurant faces no competition. 0 (3. some of its customers will be willing to pay a higher price because they prefer this brand of hamburgers. O D. none of its customers will be willing to pay the higher price because this restaurant faces competition from other restaurants. 0 E. none of its customers will be willing to pay the higher price and will stop buying hamburgers. What effect does the entry of new firms have on the economic profits of existing firms? When new firms enter a monopolistically competitive market, the economic profits of existing firms O A. will decrease because their demand curves will shift to the right. O B. will decrease because their demand curves will become more inelastic. O C. will decrease because their demand curves will shift to the left. O D. will increase because their average cost of production will decrease. O E. will remain unchanged because they sell differentiated products