Demand for concave utility meters is expanding rapidly, but the industry is highly competitive. A utility meter plant costs $50 million to set up, and it has an annual capacity of 500,000 meters. The production costs $5 per meter, and this cost is not expected to change. The machines have an indefnite physical life and the cost of capital is 10%. What is the competitive price of a utility meter?

a.$5

b.$10

c.$15