2. All firms in a market have the same long-run total cost function: C = 40q - 6q² + (1/3)q³

Input prices do not change when the industry expands output.

(1). (7 pts) Calculate the market price and individual firm output (specific numbers) when the market is at the long-run competitive equilibrium.

(2). (5 pts) Market demand is Q = 2,200 - 100P. How many firms are in the market when the industry is at the long-run equilibrium? [Hint: # of firms = Q/q]