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Isabella grows pumpkins. Her average variable cost (AVC), average total cost (ATC), and marginal cost (MC) of production are illustrated in the figure to the right. 10.00- MC ATC AVCO Assume the market for pumpkins is perfectly competitive and that the market price is $9.00 per box. 9.00- How many pumpkins should Isabella grow? 8.00- Isabella should produce thousand boxes of pumpkins. (Enter your response as an integer value.) 7.00- 6.00- How would you characterize Isabella's profit? Price ($ per box) 5.00- Isabella's profit is 4.00- 3.00- 2.00- positive 1.00- 0.00 equal to zero Quantity (boxes in thousands) negativeWhich of the following events would cause the supply curve to increase from S, to S3? Q O A. An increase in the price of inputs. O B. Higher expected future prices. O C. A decrease in the number of firms in the market. S3 O D. A decrease in the price of inputs. Price QuantityJoe has $62 to spend on apples and oranges. Given the information in the following table, is Joe maximijng utility? Marginal Total Utility of Last Product Price Quantity Utility Unit Apples $.6 5G lbs. 1,500 3D Oranges $0.50 40 lbs. 1.600 40 Joe's marginal utility per dollar spent on apples is units of utility per dollar. Joe's marginal utility per dollar spent on oranges is units of utility per dollar. The total amount of his income Joes spends on apples and oranges is dollars. Is Joe maximi'ng his utility? [:1 A. No, Joe is not maximizing his utility. If he spent more on oranges he could gain greater satisfaction per dollar spent. 0 B. Yes, Joe is maximizing his total utility. Marginal utility per dollar spent on each good is equal, and he has some of his income that he does not spend on apples or oranges that he may save. (:1 C. No, marginal utility per dollar spent on each good is equal. bul Joe has some money left in his budget which could be used to increase his utility. [:1 D. Yes. Joe is maximizing his total utility. Marginal utility per dollar spent on each good is equal. and he is spending his entire budget. Based on the numbers in the table, how many bushels should this farmer produce in order to maximize profit? Quantity Total Total Marginal Marginal (Bushels) Revenue Costs Revenue Cost (Q) (TR) (TC (MR) (MC) MC $16.00 $9.50 $4.00 $2.00 20.00 12.00 4.00 2.50 24.00 15.00 4.00 3.00 28.00 19.50 4.0 4.50 32.00 25.50 4.00 6.00 Cost and price $4.00 36.00 32.50 4.00 7.00 MR 40.00 40.50 4.00 8.00 O A. 4 bushels O B. 6 bushels O C. 9 bushels 2 3 4 5 6 7 8 9 10 O D. 10 bushels Quantity (bushels) Refer to the graph, which shows the marginal cost and marginal revenue curves for a farmer in the perfectly competitive market for wheat. What is the profit-maximizing level of output if the farmer can produce only whole units of output? O A. 3 bushels O B. 6 bushels O C. 8 bushels O D. 10 bushels