Suppose that the market for Koffie Kreamer is characterized by the following demand and supply relationships.

Demand:P=70-2Q

Supply:P=10+4Q

where Q is the number of cases of Koffie Kreamer and P is the price of a case of Koffie Kreamer.

a.Find the market equilibrium quantity and price.

b.Graph the demand and supply curves. Make sure to appropriately label both axes and identify the market equilibrium price and quantity.

c.Calculate the amount of consumer surplus at the market equilibrium. In the graph you constructed in part (b), shade the area that relates to consumer surplus in blue.

d.Calculate the amount of producer surplus at the market equilibrium. In the graph you constructed in part (b), shade the area that relates to producer surplus in red.

e.Suppose that the market for Koffie Kreamer is not in equilibrium, and that the price of Koffie Kreamer is $20 per case. Identify the number of cases that we should expect to be transacted.

f.Suppose that the market for Koffie Kreamer is not in equilibrium, and that the price of Koffie Kreamer is $20 per case. Calculate the amount of consumer surplus that arises when the price is $20 per case.

g.Suppose that the market for Koffie Kreamer is not in equilibrium, and that the price of Koffie Kreamer is $20 per case. Calculate the amount of producer surplus that arises when the price is $20 per case.