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Solaris is the sole supplier of solar panels in Sunnylandia. Solaris has no fixed costs and can supply solar panels at a constant marginal cost MC of $10 per panel. There are two different categories of customers of solar energy, business and residential. The businesses' demand for solar panels is Q(P) = 240-3P. The residential demand for solar panels is OR(P) = 80 - 5P.Page are 0 ZOOM + Residential market (R2 (30 points) 0 Calculate the prot maximizing price Pfi'and number of panels (2% that Solaris will choose to sell to residential clients, as well as the rm's prot 1%. (10 points) g) Use a diagram to illustrate the producer surplus PSR that Solaris enjoys, the consumer surplus of the residential clients CSR, and the deadweight loss DWLR in the residential market. Then, compute CSR and DWLR. (10 points) h) The government wants to encourage the production of solar panels for the residential market. In order to do so, it is willing to give to the monopoly a subsidy of 5 per panel, but the government wishes to calibrate this subsidy such that Solaris would supply an efficient quantity (that is, the same quantity as the one produced under perfect competition) in the residential market. Assuming that the government knows the demand and the costs that Solaris has, compute how much the subsidy s should be. (5 points) i) Suppose the government wishes to nance the total cost of the subsidy given in h) to the residential market by taxing the panels sold in the business market. What is the minimum amount of tax per unit t that the government would have to charge Salaris for the panels sold in the business market in order to cover the total subsidy needed for the residential market? (5 points)