Task 1 Let the demand for a product, which is manufactured and sold by a company, be given by the function P = -8Qp + 78, and the offer being given P = 4Qs + 18. P stand for price and Q stands for quantity. Furthermore, D is the designation for demand (Demand) and S is the designation for supply (Supply). a) Find the market equilibrium by calculation. (Hint: When the market is in equilibrium, QD = QS we just write Q). b) Calculate the instantaneous price elasticity of demand when P = 39. Is the demand elastic, inelastic or neutral elastic? Briefly explain what this means for the price of the item. c) Find the revenue function, I as a function of Q, for the sale of the item. The company's fixed costs are 96 and the variable costs are 14 per. manufactured unit. d) Find an expression of the company's profit function for the sale of the item. e) How many units must now sell to break even, and for which production quantity, , maximizing business profits