a) Is John maximizing his profit? If not, what should John do?John isn't maximizing his profit. To maximize profit, the production level of the business must be such that the difference between total revenue and total cost is the greatest. This is achieved by producing an additional unit if the marginal cost is less than the price at that level of production and reducing production if the marginal cost is more than the price at that level of production. Since John's marginal cost is $10, he is not maximizing his profit because he should only produce more than 100 quarts of honey if the price is more than $10. Since the price is less than the marginal cost, he should decrease his production to maximize his profit.b) John's total revenue, total cost, and total profit when he produces 100 quarts of honey. John's total revenue when he produces 100 quarts of honey is calculated by multiplying the total quantity of honey produced by the price per quart of honey, which is $10. Thus, John's total revenue when he produces 100 quarts of honey is:$10 × 100 = $1,000John's total cost is the sum of his fixed cost and his variable cost. The total variable cost is the variable cost per unit multiplied by the total number of units produced. John's total fixed cost remains the same regardless of how many units of honey he produces, while the total variable cost varies with the number of units produced. When John produces 100 quarts of honey, his total variable cost is:$5 × 100 = $500Therefore, his total cost when he produces 100 quarts of honey is:$3 + $500 = $503Finally, John's total profit is calculated as the difference between total revenue and total cost. Therefore, John's total profit when he produces 100 quarts of honey is:$1,000 - $503 = $497