Quantity 0 1 2 3 4 5 6 7 8 Price (in whole dollars) 42 41 40 39 38 37 36 35 34 Marginal Cost Analysis Data Total Marginal Total Cost Revenue Revenue

PLEASE HELP

For this assessment you will produce a marginal cost analysis graph and create a scenario that explains where the firm should set price and quantity levels.

Step One: Refer to the following data table.

Marginal Cost Analysis Data

Step Two: Determine a product market (a specific good or service) appropriate to the prices listed. Make this the title of your graph and data table.

Step Three: Calculate the marginal revenue, marginal cost, and profit for each quantity level. Fill in the data table.

Step Four: Create a graph of the data. Quantity is along the x-axis and price is along the y-axis. Graph the marginal revenue curve and the marginal cost curve.

Step Five: Answer the following questions. You will submit your responses with your data table and graph to your instructor.

1. What product market did you choose for this data to represent? Explain why.
2. Where does marginal cost nearly equal marginal revenue without exceeding it? Highlight this point on your graph.
3. If you were in business for this product, at which price and quantity level would you sell? Explain why.