Question 1: The teenagers of Good Times Island love to have bon fires on the beach every Sat- urday night. They especially love to burn rubber tyres because of the thick black smoke the tyres produce. The parents of Good Times Island, however, hate these fires. The smell of the burning tyres makes them sick. There are two companies that supply rubber tyres: Greatyear ($1) and Firepebble ($2). Their supply functions are given by (1) Qs1 = 1.75P and (2) Qs2 = 2.25P. where Q is the number of tyres sold per week. There are two neighboring villages on the Island. Their demand functions are given by (1) QD1 = 75 -3P, and (2) Qp2 = 25 - P. Assume that rubber tyres have no other purpose (i.e. they are only good for bon fires and cannot be used for transportation) and that rubber tyres are neither imported nor exported so that the island's demand for tyres must be met by the two suppliers. Also assume that the tyre suppliers are located in between the two villages so islanders can easily purchase tyres from either supplier and that bon fire smoke easily travels back and forth between the two villages. Using this infor- mation, answer the following questions.Part (c) Market Supply function (Q,) for rubber tyres: Q, = Supply functions of Greatyear ($1) + Supply functions of Firepebble ($2) = Q,1 + Q.z = 1.75P + 2.25P Q. = 4P P = 0.25Q, Part (d) Market Demand function (Q.) for rubber tyres: Q. = Demand functions of Greatyear (D1) + Demand functions of Firepebble (D2) = Q41 + Q.z = (75 - 3P) + (25 - P) Q = 100 - 4PPart (c) Market Supply function (Q) for rubber tyres: Qs = Supply functions of Greatyear ($1) + Supply functions of Firepebble ($2) = Q:1 + Q:2 = 1.75P + 2.25P Qs = 4P P = 0.250 Part (d) Demand functions of Greatyear (D1): OH1 = 75 - 3P 3P = 75 - Q. di P = 25 - 1/30. diDemand functions of Firepebble (D2): Qaz = 25 - P P = 25 - Q. d2 The Market Demand function for rubber tyres: M.D. = Demand functions of Greatyear (D1) + Demand functions of Firepebble (D2) = (25 - 1/30. .1) + (25 - Q a2) = 50 - 4/30 d