Quality Sod offers high quality sod to consumers in Topeka Kansas. The company is the

low-cost provider of sod in this market with fixed costs of $10,000 per year, plus variable

costs of $25 for each flat of sod. Annual demand and marginal revenue relations for the

company are:

P = $225 - $0.125Q

A. Calculate the profit-maximizing activity level.

B. Calculate the company's optimal profit and return.