can you please answer questions E?

4. Brenda Smith operates her own farm raising chickens and producing eggs. She sells her eggs at the local farmers market where there are several other egg producers also selling eggs by the dozen. (Brenda operates in a perfectly competitive market in which she is a "price taker.") In order to make sure she does not lose money on selling eggs. she does an analysis of her costs for producing eggs as shown on Table 3. Table 3 4- Dozens Fixed of eggs Cost Total Cost Variable Average Average Costs Variable Total Costs Costs per dozen dozen per 0 10 20 30 40 50 60 70 $3.35 $3.35 $3.35 $10.50 $3.35 $16.40 $3.35 $23.10 $3.35 $30.00 $3.35 $36.50 $3.35 $48.00 $3.35 $64.40 n/a $7.15 $13.05 $19.75 $26.65 $33.15 $44.65 $61.05 n/a $0.72 $0.65 $0.66 $0.67 $0.66 $0.74 $0.87 n/a $1.05 $0.82 $0.77 $0.75 $0.73 $0.80 $0.92 3 of 4 50 60 70 $30.00 $3.35 $36.50 $3.35 $48.00 $3.35 $64 40 $26.65 $33.15 $44.65 $61.05 $0.67 $0.66 $0.74 $0.87 $0.75 $0.73 $0.80 $0.92 BU224M3 Dozens Fixed of eggs Cost Total Cost Variable Average Average Costs Variable Total Costs Costs per per dozen dozen 80 90 $3.35 $80.00 $76.65 $3.35 $135.00 $131.65 $0.96 $1.46 $1.00 $1.50 a. What is Brenda's break even price for a dozen of eggs? Explain he Q=70 MC= fixed cost- change Q = (64.4-4870-60)= 16.4/10 p=$1.64 p ATC she will be making profit. d. If the market price of a dozen eggs at the local farmers market is $1.45 per dozen, should Brenda continue producing eggs in the short-run? Explain how you determined your answer. Yes, Brenda should continue producing because Q=60.p=1.45, AVC=0.74 hich makes it P>AVC e. If the market price of a dozen eggs at the local farmers market is 72 cents per dozen, will Brenda make an economic profit? Explain how you determined your answer. f. If the market price of a dozen eggs at the local farmers market is 72 cents per dozen, should Brenda continue producing eggs in the short-run? Explain how you determined your answer. Yes, Brenda should continue producing eggs because the price should be at least greater than or equal to minimum average variable cost. In that case the market price is $0.72 which the price is greater than $0.65. 4 of 4