Suppose themarket demand and supply functions are QD=58,200-310Pand QS=90P-1400.You have just graduated and moved to this city; as anewMBA and an entrepreneur, you are considering entering the market forthis product.

a.Determine the equilibrium price and quantity in this market.

b.You've researched and found that most firms in the market currently experience costs such that TC =220+210Q -4.1Q2+0.06Q3.Determinewhether or notyou should enter this market. Use graphs to support your answer.(Remember that you can Format Axis and change the Minimum and Maximum Bounds of your axes to "zoom in" to a graph in Excel.)

c.Due tounforeseendelays, youdon'tenter the market. However, a year later the market supply has changed to QS=90P+3400.Are you surprised at this shift in supply?

d.Given the new supply conditions, determinewhether or notyou should enter the market.