1. (5 points) Suppose that the total benefit and total cost from a continuous activity are, respectively, given by the following equations: Total Benefits B(Q) = 100 + 36Q - 4Q2 and Total Costs C(Q) = 80+ 12Q. [Note: MB(Q) = 36 - 8Q and MC(Q) = 12.] (a) What are the net benefits when O = 5? Please show your calculations. (b) What level of Q maximizes net benefits? Please show your calculations. (f) At the value of O that maximizes net benefits, what is the value of marginal net benefits? Please show your calculations or give an explanation. 2.(5 points) You are in the market for a new refrigerator for your company's lounge, and you have narrowed the search down to two models. The energy-efficient model sells for $1,600 and will save you $40 in electricity costs at the end of each of the next five years. The standard model has features similar to the energy-efficient model but provides no future saving in electricity costs. It is priced at only $ 1,350. Assuming the market interest rate (your opportunity cost of funds) is 6 percent, which refrigerator should you purchase? Please show your calculations and give an explanation. 3. (5 points) Achieving the goal of social responsibility can be expensive and may reduce profits. Please explain how the goal of social responsibility can be consistent with profit maximization. You must give an explanation