Hello,

Can someone please help me with these multiple choice economics questions?

Question 7 The diagram illustrates the demand curve, isoprofit curves and the marginal cost curve of MQ2020, a luxury car manufactured by MQ Motors. Assume that MQ Motors currently chooses to operate at Point E. Which statement correctly describes the market of MQ2020? Not yet saved 10,000 Marked out of 1.00 P Flag A question Marginal cost Isoprofit curve: P* = $5,440 $150,000 Price, marginal cost ($) Isoprofit curve: Po D $63,360 C B Demand curve 0 10 20 Q* = 32 Qo 120 Quantity of cars, Q Select one: O a. MQ Motors is not maximising its profits as total surplus is not maximised. O b. All possible gains from trade are being achieved as MQ Motors operates at its profit-maximising output and price. O c. The amount of total surplus is the area ABCE. O d. Producer surplus is $63,360 as it equals MQ Motors' profits. O e. The amount of consumer surplus is the area ADPo-Question 8 Not yet saved Marked out of 1.00 P Flag 6 question Marginal cost curve Price, P (E); cost 4 Isoprofit curve: 3.70 (200 E80 Isoprofit curve: The diagram shows a price-taking bakery's marginal and average cost curves, and its isoprofit curves. The current market price for bread is P*= 2.50. Which of the following statements 2.50 Firm's demand curve Zero-economic- profit curve (AC curve) 20 40 60 80 100 1 140 160 180 200 Quantity of loaves, Q is correct? Select one: O a. The bakery maximises its profits when the price is equal to the average cost. O b. If the market price rises to 3.70, the bakery's profit increases to 200. O c. The bakery's profit is 200. O d. The bakery's supply curve is horizontal. O e. The bakery maximises its profits by supplying 160 loaves