1.Use the graph to answer the question that follows. (3 points)

S=MSC=MPC Price ($) P, - P, - - - + - + - - MSB - - - - - - D=MPB Quantity Q1 Q2 Q 3 QS Price ($) T $600 V W $400 X - D 15,000 20,000 Quantity35 ......................... 30 .......................... 25 ......................... 20 MSB - - Price ($) 15 MSC 10 MPC S MPB 0 5 10 15 20 25 30 35 40 45 Quantity\fPrice ($) 5 S 3.5 + 3 - 2 D 360 540 Quantity