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Gooble Pay is a pay-per-view movie provider that has zero marginal cost and faces the following (inverse) demand function for its representative movie watcher: P=20-0.4Q

Gooble Pay is a pay-per-view movie provider that has zero marginal cost and faces the following (inverse) demand function for its representative movie watcher: P=20-0.4Q . Gooble Pay decides to use volume pricing to maximize profits. What is the optimal flat fee Gooble Pay should charge the representative watcher for unlimited access?

$50

$1,000

$25

$20

$500

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