Mad Rabbit (why is the rabbit smoking a pipe?) is a manufacturer and distributer of Royalex hull wilderness canoes. Revenue and cost relations are as follows:

TR = $200Q - $0.06Q²

MR =DTR/DQ = $200 - $0.12 Q

TC =$75,000 + $6Q + $0.0125Q²

MC= DTC/DQ = $6 + $0.025Q

1. (7 pt.)Calculate output, price and profit at the average cost-minimizing activity level.

1. (7 pt.) Calculate output, price and profit at the profit-maximizing activity level.

1. (7 pt.)Calculate the level of output and price that will maximize sales revenue. What is the profit associated with this activity level?

1. (10 pt.)Plot Mad Rabbit's demand curve, marginal revenue curve, marginal cost curve and average cost curve on the same graph (quantity on the horizontal axis). Show your graphical solutions (price, quantity, profit) to parts A, B and C on this graph