Gargantuan Enterprises has a monopoly in the production of antimacassars. Its factory is located in the town of Pantagruel. There is no other industry in Pantagruel, and the labor supply equation there is W = 10+0.1L, where W is the daily wage and L is the number of person-days of work performed. Antimacassars are produced with a production function, Q = 10L, where L is daily labor supply and Q is daily output. The demand curve for antimacassars is P = 66 − Q/900, where P is the price and Q is the number of sales per day. The firm's profit-maximizing output is closest to: 15,400 antimacassars. Please explain step by step how we found 15,400.

A firm in a perfectly competitive industry has patented a newprocess for making widgets. The new process lowers the firm’saverage cost, meaning that this firm alone (although still aprice taker) can earn real economic profits in the long run. a. If the market price is $20 per widget and the firm’s marginalcost is given by MC=0.4q , where q is the dailywidget production for the firm, how many widgets willthe firm produce? b. Suppose a government study has found that the firm’snew process is polluting the air and estimates the socialmarginal cost of widget production by this firm to be. If the market price is still $20, what is thesocially optimal level of production for the firm? Whatshould be the rate of a government-imposed excise tax tobring about this optimal level of production? c. Graph your results.