Please do not copy from any other websites, thank you. Sophie's Boutique provides readymade dresses, under a perfectly competitivemarket. Sophie's sewing machinery costs $200 and is the only fixed input. Hervariable cost consists of the wages paid to the tailor and the sewing materials. Thetotal variable cost per day associated with each level of output is provided in thefollowing table below:| Quantity ofDress'sTotal VariableCost ($)10200203003048040700501000(a) Calculate the total cost, average variable cost, average total cost for eachquantity of output.(b) Suppose that the price at which Sophie can sell readymade dress is $25 perdress:i. In the short run, should she produce or shut down? Draw a graphaccordingly and explain your answer.

Total cost is the sum of the variable cost and the fixed cost.

20 300 30 480 |40 700 50 1000 (a) Calculate the total cost, average variable cost, average total cost for each quantity of output. (b) Suppose that the price at which Sophie can sell readymade dress is $25 per dress: i. In the short run, should she produce or shut down? Draw a graph accordingly and explain your answer.