Hello! I am having trouble with a question regarding regular and special managers and their impact on the company. Any help on #1 and #2 would be incredible. Thank you!

I am given the initial cost function for the firm: c(y) = y2+40y+100 if y > 0 and demand function d(y) 3600 30p for p < 120 where we are assuming the 100 in the cost function above represents the salary paid to a manger needed to coordinate production. We are also told that there is an unlimited number of such regular managers and all have the option of working in a different industry and obtaining wage 100.

Suppose there are ten (identical) special managers, who have the same outside option as regular managers. When any of these ten special managers runs a firm in this industry, its cost function is: y2 + manager's salary if y > 0.

1. What is the new competitive equilibrium and how does it differ from the equilibrium with regular managers only? Where do the special managers work and what are their salaries?
2. How are the consumers' surplus and producer's surplus affected by the discovery of the specially skilled managers?