Atotal cost function,TC = 1200 + 0.5Q² and a marginal cost function ofMC = Q. Andy is the sole supplier of shoes in the town and the market demand curve for his shoes is given by the equation Q = 300 - P.

a) Andy is excited and wants to start big by producing 125 pairs of shoes instead of the profit maximizing quantity. By how much will Andy's profit drop?

b) Calculate the price elasticity of demand at Andyl's profit-maximizing price and when he is producing 125 pairs of shoes.

Thank you very much in advance for answering the questions!