8. (50 points) A wastewater treatment firm in Karachi has two plants, one in Korangi and the other in Nazimabad. The mar

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8 50 Points A Wastewater Treatment Firm In Karachi Has Two Plants One In Korangi And The Other In Nazimabad The Mar 1 (128.93 KiB) Viewed 50 times

8. (50 points) A wastewater treatment firm in Karachi has two plants, one in Korangi and the other in Nazimabad. The marginal cost functions for the Korangi and Nazimabad plants are: p = 10 + q and p = 20+ 2q, where q measures gallons (thousand) of water treated weekly. Suppose the firm treats 200 gallons (thousand) of water weekly. The treatment at each plant occurs equiproportionately—that is, each plant treats an equal amount of water. a. (10 points) What's the total cost to the firm of treating the water equiproportionately at the two plants? b. (10 points) Is this cost-effective? Carefully and intuitively explain your answer. 4 Now suppose the firm decides to treat the water at the lowest possible cost. c. (20 points) How much water will it treat at each plant? d. (10 points) What's the total cost to the firm now?