Hi, i need help on these 9 microeconomics questions within couple hours(questions are in attachment). appreciated if can help me out.

no need explaination to me. only need work process for each question.

Thank you.

Assignment 1 Budget Constraint Suppose that Ming has $60 to spend on either CDs or video rentals. For each of the situations described below, draw Ming's budget line. Put \"CDs\" on the x-axis, and \"video rentals\" on the y-axis. Provide coordinates of all special points on the graph. (Treat CDs and video rentals as CONTINUOUS goods, which can be consumed in noninteger amounts.) (a) CDs are $10 each and video rentals are $6 each. (b) The prices are the same as in (a). The government imposes a 20% value tax on CDs. (c) Video-rentals are $6 each. CDs are $10 each for the first three, and $6 each for additional ones. (For example, the cost for two CDs is 10*2 = 20; the cost for five CDs is 10*3 + 6*2 = $42.) (d) The prices are the same as in (a). However, there is an on-going promotion of CDs, a bundle of four CDs for $30. (For example, the cost of five CDs is 30 + 10 = 40; the cost of eight CDs is 30 + 30 = 60.) (e) The prices are the same as in (a). The government imposes a $30 lump-sum tax on Ming, but compensates him with a member card, which allows him to rent up to 10 videos. 1 Preferences Prof. Goodheart gives two midterms in his communications class. He only uses the higher of the two scores that a student gets on the midterms when calculating the course grade. Nancy is taking Prof. Goodheart's course and wants to maximize her grade. Let x1 be her score on the first midterm, and x2 be her score on the second midterm. (a) Which combination would Nancy prefer, x1= 30 and x2 = 70, or x1= 60 and x2 = 60? = Nancy would prefer the combination of x1= 60 and x2 = 60 . (b) Draw the indifference curve going through (30, 70), and the indifference curve going through (60, 60). (c) Suppose that Prof. Goodheart changes his policy. He uses the lower of the two scores that a student gets on the midterms when calculating the course grade. Re-answer parts (a) and (b). = Nancy would prefer the combination of x1= 30 and x2 = 70 (d) Suppose that Prof. Goodheart uses the average of the two scores that a student gets on the midterms when calculating the course grade. Re-answer parts (a) and (b). = Nancy would prefer the combination of x1= 60 and x2 = 60 as the average of this combination is 60, which is higher than the average of x1= 30 and x2 = 70, which is 50 Choice and Demand Ambrose consumes only two goods, nuts (good 1) and berries (good 2). His utility function is u(x1, x2) = x1x2. The prices are p1 = 4 and p2 = 2. Ambrose has an income of $120. (a) What is Ambrose's optimal choice? (b) Suppose that the income increases to $150. What is Ambrose's new optimal choice? (c) Is good 1 normal or inferior? Is good 2 normal or inferior? (d) Fix the prices to be (p1, p2) = (4, 2). Derive the Engel curve for good 1. Draw it. (e) Suppose that the price of good 1 increases to p1 = 6. The price of good 2 is p2 = 2. Ambrose's income is $120. What is Ambrose's optimal choice? (f) Is good 1 ordinary or Giffen? Is good 2 a substitute or a complement for good 1? Consumer's Surplus Lucy's preferences can be represented by u(x, y) = min{x, y}, where x is liters of milk, and y is dollars to spend on other things. She faces prices (px , py ) = (2, 1), and her income is $18. (a) Draw Lucy's budget line. What is her optimal bundle? (b) Suppose that the price of milk rises to $3 per liter. Draw Lucy's new budget line. What is her new optimal bundle? (c) Suppose that py is fixed at $1, and Lucy's income is fixed at $18. Derive Lucy's demand function for x. (d) Compare (a) and (b). What is the change in consumer's surplus? Market Demand and Elasticity The demand function of dog breeders for electric dog polishers is qb = max {200 p, 0}. The demand function of pet owners for electric dog polishers is qo= max {90 4p, 0}. (a) What is the price elasticity of dog breeders' demand for electric dog polishers at price p? What is the price elasticity of pet owners' demand? = The price elasticity of dog breeders' demand for electric dog polishers at price p is -p/(200-p) = The price elasticity of pet owners' demand is -4p/(90-4p) (b) At what price is the dog breeders' elasticity equal to 1? At what price is the pet owners' elasticity equal to 1? = The dog breeders' elasticity equal to 1 at $100 = The pet owners' elasticity equal to 1 at $11.25 (c) Draw the dog breeders' demand curve, the pet owners' demand curve, and the market demand curve. (d) What is the nonzero price at which there is a kink in the market demand curve? What is the market demand function for prices below the kink? What is the market demand function for prices above the kink? = There is a kink in the market demand curve at $22.50 = The market demand function for prices below the kink is 290 - 5p = The market demand function for prices above the kink is 200 - p (e) Where on the market demand curve is the price elasticity equal to 1? At what price will the revenue from the sale of electric dog polishers be maximized? If the sellers' goal is to maximize revenue, will electric dog polishers be sold to breeders only, to pet owners only, or to both? = On the demand curve, the price elasticity equal to 1 is at $100 = The revenue from the sale of electric dog polishers be maximized at $100 = Will be sold only to Breeders Equilibrium The demand for wine is D (p) = 1000000 60000p bottles per year, where p is the price per bottle. The number of bottles supplied is S (p) = 40000p. (a) What are the equilibrium price and the equilibrium quantity? = The equilibrium price is $10 = The equilibrium quantity is 400,000. For parts (b), (c) and (d): Suppose that the government introduces a new tax such that the wine producers must pay a tax of $5 for every bottle produced. (b) What is the new equilibrium price paid by consumers? What is the new price received by producers? = The new equilibrium price is $12 = The new price received by producers is $7 (c) How much is the total tax revenue received by the government? How much is the consumer's surplus? How much is the producer's surplus? (d) How much deadweight loss does the tax cause? Profit Maximization Allie grows apples and sells two products, boxes of apples and jugs of apple cider. Allie has capacity constraints of three kinds: warehouse space, crating facilities, and pressing facilities. A box of apples requires 6 units of warehouse space, 2 units of crating facilities, and no pressing facilities. A jug of apple cider requires 3 units of warehouse space, 2 units of crating facilities, and 1 unit of pressing facilities. The total amounts available each day are: 1200 units of warehouse space, 600 units of crating facilities, and 250 units of pressing facilities. (a) If the only capacity constraint were on warehouse space (the other two facilities were of unlimited supply), and if all warehouse space were used for the production of boxes of apples, how many boxes could be produced in one day? How many jugs could be produced in one day if all warehouse space were used for the production of jugs of apple cider, and there were no other capacity constraints? Draw a line in a graph to represent the warehouse space constraint on production combinations. (b) How many boxes of apples could be produced in one day if Allie only had to worry about crafting capacity and no other constraints? How many jugs of apple cider? Draw another line on the same graph of (a) to represent the crafting capacity constraint on production combinations. (c) How many boxes of apples could be produced in one day if Allie only had to worry about pressing capacity and no other constraints? How many jugs of apple cider? Draw another line on the same graph of (a) to represent the pressing capacity constraint on production combinations. (d) Now identify the area that represents feasible combinations of daily production of boxes of apples and jugs of apple cider for Allie. (e) Allie can sell apples for $5 per box, and cider for $2 per jug. Solve for Allie's revenue maximization problem. What is Allie's optimal production plan? What is the maximum revenue? Price Discrimination The Mall Street Journal is considering offering a new service, which will send news articles to readers by email. Their market research indicates that there two types of potential users, high-level executives and undergraduate students. Let x be the number of articles that a user requests per year. The executives have an inverse demand function PE(x) = 100 x, and the students have an inverse demand function PU(x) = 80 x. (Prices are measured in cents.) The Journal has a zero marginal cost of sending articles via email. (a) Draw on a graph the two inverse demand functions. (b) Suppose that the Journal can't tell which users are executives and which are students. In this case, the Journal offers two packages: a 80-article subscription and a 100-article subscription. It will have to let the users self-select the one that is optimal for them. What is the maximum price that the Journal can charge for the 80-article subscription if it wants the students to accept this package? What is the value of the 80-article subscription to the executives? What is the maximum price that the Journal can charge for the 100-article subscription if it wants the executives to choose this package over the 80-article one? (c) Suppose that the Mall Street Journal decides to include only 60 articles in the student pack- age. What is the maximum price that the Journal can charge for the 60-article subscription if it wants the students to accept this new package? How much consumer surplus would the executives get from the new student package? What is the maximum price that the Journal can charge for the 100-article subscription if it wants the executives to choose this package over the 60-article one? (d) If the number of executives in the population equals the number of students, would the Journal make higher profits by offering a student package of 80 articles or a student package of 60 packages? Two-Part Tariffs Pacific Studio is an amusement park. The marginal cost of providing each ride for a consumer is $2. After entering the park, each visitor's demand function for the number of rides is Q (p) = 40 4p, where p is the price for each ride. (a) Assume that according to the regulation, Pacific Studio is NOT allowed to charge any entry fee on the visitors. To maximize the profit, what should be the optimal price for each ride? How many rides would each visitor take? How much profit can Pacific Studio make from each typical visitor? For parts (b) and (c): Assume that a change has been made in the regulation. The park is now allowed to charge an entry fee. (The park does not bear any cost to let visitors enter.) (b) To maximize the total profit from each visitor, how much entry fee should Pacific Studio charge on each visitor? How much should it charge for each ride? How many rides would each visitor take? (c) How much profit can the park make from each visitor in this case? (d) For the two pricing strategies you solved in part (a) and (b), which one leads to a Pareto efficient market equilibrium