Problem 1: Perfect Competition and Monopolistic Competition [20 Points] Suppose that a firm is in a perfectly competitive market has a long-run cost function given by the following: C(Q) = 400 + 0.2502 Wost This implies a Marginal Cost Function also given by: MC(Q) = 0.5Q 1. Plot a figure with this firm's LRAC and MC functions. Have quantity (Q) on the x-axis, and these costs on the y-axis. [2 points] 2. In Long-Run Equilibrium, what must be the quantity that this firm produces and what must be the market price? [4 points]