Problem 2 (25 marks) A monopolist faces a demand curve Q = 50 - - and has a marginal cost MC - 10 + 40. Suppose there is no fixed cost. Use the given equations to answer the following questions. 1) Calculate the profit or loss that the monopolist achieves if its objective is to maximize profits? (3 marks) 2) Calculate the price level that maximizes the monopolist's total revenue? (3 marks) 3) Calculate the Lerner's index of monopoly power? (3 marks) 4) Calculate the price elasticity of demand that this monopolist faces at the profit maximizing equilibrium? (3 marks) 5) Calculate the welfare loss that results from this monopolist? (5 marks) 6) Graph your results (3 marks) 7) If this monopolist used a first-degree price discrimination, how much is the consumer surplus and the deadweight loss in this case