Question Two: (12 marks) (B3, C2, C3) 1. Consider the demand curve Q = 100 - 50P a. Draw the demand curve and indicate w

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Question Two 12 Marks B3 C2 C3 1 Consider The Demand Curve Q 100 50p A Draw The Demand Curve And Indicate W 1 (158.63 KiB) Viewed 26 times

Question Two: (12 marks) (B3, C2, C3) 1. Consider the demand curve Q = 100 - 50P a. Draw the demand curve and indicate which portion of the curve is elastic, which portion is inelastic and which portion is unit elastic. (3 Marks). b. Without doing any additional calculation, state at which point of the curve, expenditures on the goods are maximized, use excel table to prove and explain the logic behind your answers. (3 Marks). 2. Consider the production function Q= 30 + 70L - 90L2 a. Find the range of the stages of production. (2 Marks) a b. Draw the MP curve and AP curve and indicate which stage is the best for the firm to produce. (2 Marks). c. Explain why you cannot calculate the range of stage I (2 Marks)