Assume that a firm named "Don't be Naked & Afraid" has a monopoly on the sale of clothing for people who wander naked and afraid around the wilderness for 20-40 days. The equations below provide demand and cost-related information associated with selling this good:

(Demand) P = 200 - 5Q (Marginal Revenue) MR = 200 - 10Q (Marginal Cost) MC = 50 (Average Cost) AC = 50 + (150/Q)

a.Let's assume this firm sells every unit at the same price. Under this pricing strategy, the greatest possible profits this firm can earn are equal to_____ .

Suppose the government believes that even naked people wandering around the wilderness should be able to buy clothing at "cost" and, as a result, the government sets this firm's price equal to their marginal cost (i.e. P = $50).

b. Under this $50 price control, the firm will sell _____ units of clothing.

c. Under this $50 price control, the firm's profit is equal to _____