please assist in answering these questions.

6. A firm has the production function Q=LK. The firm initially faces input prices w1 = $1 and r = $1 and is required to produce 0:100 units. Later the price of labor w goes up to w; = $9 and the price of capital r remains unchanged. A. Graphically represent the situation. Make sure you write down equations for isoquant curve, isocost lines. [3] B. Find the optimal input combinations for each set of prices. [3] 7. Suppose demand for a monopolist's product is given by P=400-8Y while the monopolist's marginal cost is given by MC=80. A. Derive the marginal revenue curve. Sketch and label the marginal revenue curve, demand curve and marginal cost curve. [2] B. What are the profit-maximizing quantity of output and price for this monopolist? What are the competitive equilibrium output and price? Clearly show and label them in the diagram. [2] C. Assume that there is a xed cost of 200 and the only additional cost is variable in Y and it is represented in the marginal cost function. What is the average cost function? [4] D. Is this a natural monopoly? If so, discuss two ways how the government can regulate the industry to be more efficient. Calculate the loss incurred by the monopoly at the efficient output level and discuss how to calculate the efcient output/ price level can be determined where the firm is making zero profit. If not, discuss how much the government must subsidize the monopolist for it to produce at the market efficient level. [4]