Question: A firm produces two commodities, Q1 and Q2, in pure competition. The market price of commodity 1 is $15 and that of commodity 2 is $18. The firm has a total cost function, C=2Q 1 ^2+2Q 1 Q 2 +3Q 2 ^2

(a) Form the profit function for this firm.
(b) Determine the profit maximizing levels of output for both commodities.
(c) Evaluate the Hessian for the second order condition.