5. Market Research suggests that for a given commodity Q= 2 when P= 38, Q= 4 when P= 42 and Q= 6 when P= 62.

a. Find the firm's demand function where P = f(Q) (assume it is quadratic).

b. Draw a graph of the demand function you found in part a.

1. A company produces 100 units of a particular product where its total production cost is 500. Calculate at what price it has to sell its product in order to breakeven.

3. A company XYZ manufactures and sells product ABC. The selling price of the product is 6 per unit, and estimates of demand and variable costs of sales are as follows.

Probability	Demand Units	Probability	Variable Cost per unit ()
0.4	6,000	0.1	2.00
0.5	5,000	0.3	2.50
0.1	7,500	0.6	3.50

The unit variable costs do not depend on the volume of sales. Fixed cost will be 12,000.

Calculate the expected profit.

4. Assume that the rate of income tax (t) is 25% and that every individual has a personal allowance of 2000 per year. Disposable income (Y^D) is gross income (Y) minus income taxes (T). Express the relationship between disposable income and gross income:

a) in the algebric form

b) on a graph.

6. The demand for a firm's product is given by Q= 120 - P, where Q is the quantity demanded and P is the price of the product. The firm's total costs are given by TC = 2Q²+6Q + 216, where Q is the quantity produced.

a. If the firm only products what it can sell, and no more, determine the breakeven point(s) for the firm.

1. What is the firm's profit when output is 25 units?
2. Determine arithmetically and graphically the output at which profit is a maximum.
3. Draw Total Revenue, Total Cost and Profit functions.