A factory producing humanoid robots is situated next to a dormitory for nurses who work night shifts. The production process is rather noisy, and the nurses often complain that their sleep is disturbed. The graph depicts the MPC and MSC of the robot factory production. The robot market is competitive and the market price is £340. Based on this information, which of the following statements is correct? The factory’s profit-maximising output is 80.

The producer surplus at the factory’s profit-maximising level is £9,600.

The net social benefit of production at the factory’s profit-maximising level is £7,200.

The Pareto-efficient output is 120.

The compensation to be paid is £80 per robot.

The factory’s profit is the same under both schemes.

The nurses are just as well off under the Pigouvian tax scheme as under the compensation scheme.

Compared to the Pigouvian tax scheme, the compensation scheme provides stronger incentives for the factory to find production methods that reduce the size of the externality.