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A firm produces two products (A and B) jointly. Every time a unit of A is produced, a unit of B is also produced as

A firm produces two products (A and B) jointly. Every time a unit of A is produced, a unit of B is also produced as a byproduct. The demand functions for A and B are:

Qa = 300 - 2Pa

Qb = 100 - Pb

The marginal cost of producing a joint output is:

MC = 50 + Q

Assuming that disposal is costless, what is the number of units of joint output that should be produced (1) ................. ?

The firm should sell (2) ......................... units of product A and charge a price of (3) $......................

The firm should also sell (4) ..................units of product B and charge a price of (5) $.......................

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