Chesapeake Bay Lumber company is selling a new product through a single retailer - Home Pepot. Demand for the product is equally likely to be 1, 2, 3, 4, 5, or 6 units per week. Production cost to the supplier is $100, and the retail price to the final customer is $300. The salvage value is 0, items left over at the end of the week are discarded, and orders are placed once per week. If the manufacturer uses a price only contract and decides to drop his price to the retailer to entice the retailer to order the amount that is best for the chain, how high could this price be?

A. $0 B. $300 C. $200 D. $100 E. None of the above.