Based on market research, a recording company obtains the following information about the demand andproduction costs
ofits new CD:
Price = 1,000 - 10Q
Total Revenue = 1,000Q - 10Q2
Marginal Revenue = 1,000-20Q
Marginal Cost = 100 + 10Q
where Q indicates the number of copies sold andP is the price in cents.
(a) Find the price and quantity that maximizes thecompany's profit.
(b) Find the price and quantity that would maximize socialwelfare/total surplus.
(c) Calculate the deadweight loss from monopoly.