Econ question:

Answer the next three questions on the basis of the following information: You are a monopolist. The representative consumer's demand curve for your product is given by: P = 10 0.2Q And your costs are: MC = AVC = 4 Suppose now that you decide to use a more complex price strategy and to charge a 2part tariff. What is the optimal perunit price and optimal flat fee? O a. Perunit = $4; Flat fee = $7 0 b. Perunit = $8; Flat fee = $10 O c. Perunit = $0.2; Flat fee = $100 Q d. Perunit = $4; Flat fee = $40 0 e. Perunit = $4; Flat fee 2 $90