3. Demand and supply functions are Qd = 98 - P and Qs = -2 + 4P. Determine the impact of a subsidy at the rate of 2 taka per unit of output.

4. a) find market demand from three individuals demand functions below

Q1 = 70 - 2P

Q2 = 100 - P

Q3 = 20 - 2P

Suppose the supply equation is Qs = 5P

b) What are the amounts of equilibrium price and quantity?

c) Compute each individual's demand in equilibrium.

2. Given the cost function C = Q³ - 2Q² + 3Q + 500

I.Determine TVC, AVC and MC.

II.What is the minimum amount of AVC?

III.Show that at minimum of AVC, AVC = MC.