Question: Qd = Qs Demand = Supply 9252 - 100P = 3564 +800P 568 = 900P P = $6.32 Equilibrium Price 2. [Prot Maximization in a

Qd = Qs

Demand = Supply

9252 - 100P = 3564 +800P

568 = 900P

P = $6.32 Equilibrium Price

2. [Prot Maximization in a perfectly oompetive market}. You are the manager of a dairy fa rm in California. Using the market price that you calculated in question 1 and assume that your fann's weekly cost function is the following: TC(Q) = $10353 + $29 + $100459: a. What is the prot maximizing output level (9") for your farm? b. What are your fa rm's weekly profits at the prot maximizing output level? C. Is this market at its longrun equilibrium? If yes, explain why. If not, discuss what will happen to restore the market to its longrun equilibrium

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