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Royal Motors Ghana Limited is a sole producer of tricycles in Ghana. It has set up two production facilities: the Eastern Facility and the Southern

Royal Motors Ghana Limited is a sole producer of tricycles in Ghana. It has set up two production facilities: the Eastern Facility and the Southern Facility. For this firm, Q, units are produced in the eastern facility and 2 units are produced in the southern facility, so that Q=Q1+Q2. The demand function for the firm is given as Q=1040-0.2P. The total cost ofproducing the tricycles at the eastern facility is given by C1(Q1)=100+25Q1^2; and that of thesouthern facility is C2(Q2)=120+50Q2^2.

I.Determine the profit maximising level of the tricycles that the firm should produce at the two facilities.
ii. Find the optimal price and the firm's profit. 

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