Market research has revealed the following information about the market for chocolate bars: The demand schedule can be represented by the equation QD = 1600 300P, where QD is the quantity demanded and P is the price. The supply schedule can be represented by the equation QS = 1400 + 700P, where QS is the quantity supplied.

a. Calculate the equilibrium price and quantity in the market for chocolate bars.

b. Say that in response to a major industry ad campaign, the demand schedule for chocolate bars shifted to the right, as 1800+300P. What happens to the equilibrium price and quantity of chocolate bars in this case?

c. Returning to the original demand schedule, say that the price of cocoa beans, a major ingredient in the production of chocolate bars, increased because of a drought in sub-Saharan Africa, a major producer of cocoa, changing the supply schedule to QS = 1100 + 700P. What happens to the equilibrium price and quantity in this case?