Next are two UNRELATED scenarios, building on the basic setup. Scenario 1: b] Iayco does a study of all of its lines of products and income streams. If the Conquest\"I motorhomes were not available, some of the potential buyers would switch to buying caravans. Iayco estimates that it would earn $5tlm on caravans if motorhomes were available, and $51m if motor homes were not available. However, Jayco expects to earn $2m selling replacement parts and addon products to buyers of motorhomes, so that income stream would disappear if motorhomes were not available. Taking these factors into consideration, what is the negotiated payment to Fiat? Scenario 2: c} Iayco is considering producing its own base, instead of using the Fiat Ducato: Setting up the production line would cost $1m to begin with, and each base would cost $40,0D to produce. {Jayco needs 1m} bases] If this option is considered before any agreement has been reached between Fiat and Iayco, what is the negotiated payment from Jayco to Fiat? cl] Suppose that automobile manufacturers do not believe that ]ayco has the capability to produce its own bases. Jayco would have to actually set up the production line in order to convince Fiat that this is a viable option and affect the nal negotiations. Calculate the prots of Iayco with and without setting up the production line. [to they set up a production line? Why? Scenario 3 e] Iayco is considering producing its own base, instead of using the Fiat Ducato: Setting up the production line would cost $4m to begin with, and each base would cost $40,0DD to produce. {Iayco needs 1th] bases.) if this option is considered before any agreement has been reached between Fiat and Iayco, and both parties are aware of it, what is the negotiated payment from Iayco to Fiat