0 Exercise 2 (15 points) Waterton Publishing Company is a book publisher located in Los Angeles, California. This company faces the following demand schedule for the next novel of John Smith, one it its popular authors. The author is paid $2 million to write the book, and the marginal cost of publishing the book is $10 per book. Price Quantity demanded $100 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000 1,000,000 90 80 70 60 50 40 30 20 10 0 . Perform a profit maximization analysis for the publisher. The publisher, Waterton Company is maximizing profits. What is the profit maximizing quantity, price and profit of the Waterton Company? Show on a graph the profit maximization problem for the publisher. Explain with words + computations+ graph. What is the socially efficient level of output? What is the price and profit corresponding to this socially efficient output? Show the efficient quantity, the deadweight loss (DWL) and consumer surplus on the same graph you drew above. Compute consumer surplus and DWL. Explain with words + computations + graph