A Consulting Company Estimated Market Demand and Supply in a Perfectly

A consulting company estimated market demand and supply in a perfectly competitive industry and obtained the following results: $Q _ { \mathrm { d } } = 25,000 - 5,000 P + 25 M$ $Q _ { s } = 240,000 + 5,000 P - 2,000 P _ { J }$ where P is price,M is income,and $P _ { I }$ is the price of a key input.The forecasts for the next year are $\hat { M }$ = $15,000 and $\hat { P } _ { I }$ = $20.Average variable cost is estimated to be $A V C = 14 - 0.008 Q + 0.000002 Q ^ { 2 }$ Total fixed cost will be $6,000 next year.Suppose that income for next year is forecasted to be $9,000 instead.What is the profit-maximizing output choice for the firm?

A) 1,000 units
B) 1,860 units
C) 2,000 units
D) 2,860 units
E) none of the above