Question: Motzi Bread in Baltimore bakes delicious bread. Bread shops are a (perfectly) competitive business in Baltimore. At its current production level, Motzi Bread estimates the

Motzi Bread in Baltimore bakes delicious bread. Bread shops are a (perfectly) competitive business in Baltimore. At its current production level, Motzi Bread estimates the following:
Price per loaf of bread: $6
Average Variable Cost: $4
Average Total Cost: $7
Marginal Cost: $5
Based on this information and your knowledge of economics, which of the following should Motzi do?
A Keep production at the same level.
B We need more information.
C Increase Production
D Decrease production
E Shut down immediately.

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