5. Segmentation A pharmaceutical company faces the following monthly demands in the US and Mexican markets for one of its patented drugs: Ous -300, 000 -5, 000P and Q. - 240, 000-8, 000P. where quantities represent the number of prescriptions. Assume that resale or arbitrage is impossible and that marginal cost is constant at $2.00 for both markets. Monthly fixed costs are $1 million in the US and $500,000 in Mexico. a. Draw the demand, marginal revenue and marginal cost curves for each market and show the profit maximizing price. Calculate this best price in each market. b. What are the firm's profits? c. What is the elasticity of demand at each of these prices? d. Now assume that the markets cannot be separated and the firm must sell at a uniform price in both markets. What is the best price? What are the firm's profits in this case