A local gym plans to use third-degree price discrimination to set its family and corporate rates. The demand for family memberships is = 1968 40 and the demand for corporate memberships is = 4140 100. The gym's cost is = 24,000 + 20.

a How many memberships of each will the firm sale under third-degree price discrimination?

b What price will the firm charge for each type of memberships under third-degree price discrimination?

c What profits will the firm make in total under third-degree price discrimination?

d If the law goes not allow the gym to price discriminate, what profits will the firm make in total under uniform pricing (hint: add the original demands to find the total demand)?