A monopolist's cost of production is given by C = 10Q + Q 2 and demand for the products is Q = 200 - 2P.

a. Derive profit-maximizing equilibrium output and price.

b. Calculate producer surplus and consumer surplus and draw them in P-Q space.

c. Suppose a tax of $15 per unit is imposed on the buyers of the product. What will be the consumer's price? How will the monopolist's price and profits change?