8.3 A firm’s demand function is Q = 110 - p + 2A0.5, where A is the amount of advertising undertaken by the firm and the price of advertising is one. The firm’s cost of production is C = 50 + 10Q + 2Q2.

The government imposes a binding price control at $135. Use Excel to determine the profit-maximizing level of advertising. What is the quantity sold? (Hint: Try advertising levels that vary in hundreds from 0 to $1,000. Select the most profitable range and try smaller increments within that range.)