U-To is a price leader in the market for truck rentals. There are many small follower firms that take U-To's price P as given and then supply truck rentals according to the supply function S(P)=P-50 for P50, and S(P)=0 for P<50. The demand for truck rentals is given by QD(P)=100-P. U-To's cost function is C(QL)=100+40QL. a. Find the residual demand curve facing U-To. (2 points) b. Find the inverse residual demand curve facing U-To. (2 points) c. Write down U-To's profit function, taking into account the follower firms response to U-To's decision. (2 points) d. Find U-To's first order condition for profit-maximization. (2 points) e. Find the profit-maximizing price and quantity chosen by U-To, and the quantity supplied by the follower firms. (2 points) f. Suppose demand decreased to QD(P)=60-P. Redo parts (a) - (e) with the new demand curve. (5 points)