Babydrink is a monopolist due to its patent in infant formula. The total cost for production in dollars is given by C(q)= 24q^2+600q+9600.

The market demand it faces is p = 700 q

(a) To maximize profit, how much should Babydrink produce? And what is the price it

charges?

(b) Verify (answer from a) gives and maximum and not minimum?

c) What is the fixed cost?

d) Find a function that gives the marginal cost.

e) Find a function that gives the average cost.

f) Find the efficient scale (minimizes the average cost).

g) Verify it is the most efficient not the least efficient.