Suppose people are uniformly distributed along a road 36 miles long, with 100 people per mile. Travel costs are 1 dollar per person per mile. There is one bar located at mile 12 and another located at mile 24. All customers are willing to pay up to 15 dollars for a night at bar. The mile-24 bar is a little newer the marginal cost of caring for a customer while at that bar is 2 dollars. The marginal cost of caring for a customer at the mile-12 bar is 4 dollars. Ignore the fixed costs of each bar set them equal to zero.

(i)Assume the bars pay transport costs for their customers, and each bar acts to maximize its profits. As carefully as you can, draw: (i) a graph of price against location;

(ii)a graph of profit against location; and

(iii)a graph of consumer's surplus against location.