Explain why the restaurant market in Waltham is monopolistically competitive. How does Masao's differentiate itself? (b) Suppose the demand for Masao's is described by P = 20 - 1 16Q, and Masao's cost function is C(Q) = 850 + 4Q + 1 240Q2 where Q is the number of meals per hour. How many meals does Masao's produce per hour? What is Masao's hourly profit? 1 (c) How much profit does Masao's earn in the long run? Explain, and show the long-run production decision in a graph