Refer tobelowTable.

The table below shows the total demand for viewing a rare penguin species at a local reserve.Ecotourcompanies have to build discreet viewing hides for tourists to view the penguins.

Eachecotourcompany has to pay a fixed fee of $5000 for the right to build on the reserve. Assume that hides can be supplied to tourists at zero marginal cost. Tickets are sold to tourists to use the viewing hides.

Any firm can change tickets by steps of 500 only. Any 500 step of quantity is assumed to be sold at the midpoint of the two prices (eg. 3500 tickets would be sold for $5).

Assume that there are two profit-maximisingecotouristcompanies operating in this market. Further assume that they are able to collude on the price of the tickets they sell. As part of their collusive agreement, they decide to take an equal share of the market. How much profit will each company make?

Select one:

a. $4500

b. $9000

c. $18 000

d. $16 000