'l. MegaLLC has the monopoly on selling Gadgets in the country of Olympics. Demand and supply in the market are represented using the following functions: D = 4940 94F S = 56? 880 where: D = 1000s of Gadgets demanded per year 8 = 10005 of Gadgets supplied per year P = price per Gadget in dollars (3:) a) Calculate the equilibrium price and quantity in this market. [2 marks] b) MegaLLC has fixed costs of $15 million and each Gadget costs $25 to produce. Determine the profits made by the firm at equilibrium. [2 marks] c) Incomes in Olympios have increased on average, leading to an increase in demand at the equilibrium price calculated in part (a) of 10%. The gradient of the new demand curve is unchanged. Determine the new demand function and hence, or otherwise, the new equilibrium price and quantity. [4 marks] d) A government report suggests that MegaLLC is earning 'excessive prot' from the market. In response, the government is discussing the possibility of imposing a price ceiling on the market. i) Explain the impact this would have on the market, including a comment on its effectiveness. ii) Suggest, with explanation, alternative actions the government could take. [6 marks] [Tote]: 14 marks]