(1). Compute the optimal monopoly price/output combination. (10 points)(2). Calculate the firm's maximised profit. If the company has ?5 million invested in plant and equipment, what is the rate of return on investment? (10 points)(3). Assuming that the public utility commissions want the firm to provide more products to customers at a lower price, and specifies that a 10% rate of return on total assets is fair for the firm, what is the appropriate price/output combination and profit level for the firm in this case? (10 points)

Q2 Assume that the total revenue (TR), marginal revenue (MR), total cost (TC), and marginal cost (MC) functions of a monopoly firm are: TR=220Q-0.001Q2 MR=2TR=220-0.002Q TC=1,000,000+20Q+0.004Q2 MC= 30 OTC=20+0.008