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NopGames buys the rights to sell a certain video game title worldwide. TopGames pays $400,000 for this right and marginal cost of providing the video
NopGames buys the rights to sell a certain video game title worldwide. TopGames pays $400,000 for this right and marginal cost of providing the video game download is zero. TopGames' economist realizes they have two groups of customers: the 2,000 hard-core fans of this game who will pay up to $150 a year to be able to play this game; and the 10,000 casual gamers who will pay up to $50 a year to play this game. If TopGames can NOT price discriminate, what is its profit-maximizing price? What is its profit? Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. Price = $50; Profit = $100,000 All Bookmarks Hand In b Price = $50; Profit = $200,000 c Price = $150; Profit = negative $100,000 d Price = $150; Profit = $300,000
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