The marketing department of Specialty Coffees estimates the following monthly demand for a latte in these four price-quantity relationships:

Demand

a 5,000 cups at $5.50 per cup

b 6,000 cups at $5.00 per cup

c 7,500 cups at $4.50 per cup

d 9,000 cups at $4.00 per cup

The fixed costs of $ 3,000 per month are not affected by the different price-volume alternatives. Variable costs are $ 0.50 per cup. What price per cup should Specialty Coffees set for the latte?