Assume the cost of producing the products is $10 and that each consumer will purchase each product as long as the price is less than or equal to value.Consumer values are entries in the following table.

Consumer 1 Consumer2

Low quality product

$ 200

$250

High quality product

$300

$400

1. Suppose a business firm only sold the goods separately. What price will the firm charge for product 1 to maximize revenues for product 1? Explain.
2. What is the total profit to the monopolist from selling the products separately?Explain.
3. What is a better pricing strategy for the monopolist? What is the resulting profit?Explain.
4. What is Marginal cost forLow and High quality product, according to the given conditions?