A review of industry wide data for the jelly and jam manufacturing industry suggests the following industry supply function:

Q = -59,000,000 + 500,000P - 125,000P_L - 500,000P_k + 2,000,000W

Where Q is cases supplied per year, P is wholesale price per case ($), P_L is the average price paid for unskilled labor ($), Pk is the average price of capital (in percent), and W is weather measured by the average seasonal rainfall in growing areas (in inches).

a. Determine the industry supply curve for a recent year when P_L = $8, P_K = 10 percent, and W = 20 inches of rainfall. Derive the industry supply curve with quantity expressed as a function of price and price expressed as a function of quantity.

Q = ?+ ?P

P = ? + ?Q (round decimal to 1st significant number)

b. Calculate the quantity supplied by the industry at prices of $50 and $70 per case.

Q at $50:

Q =

Q at $70:

Q =

c. Calculate the prices necessary to generate supply of 4 million and 8 million cases.

P at 4 million:

P =

P at 8 million:

P =