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The NFL Network broadcasts movies and special programs created by NFL Films. The firms are independently owned and operated. NFL Films sells only to

The NFL Network broadcasts movies and special programs created by NFL Films. The firms are independently

The NFL Network broadcasts movies and special programs created by NFL Films. The firms are independently owned and operated. NFL Films sells only to the NFL Network. The NFL Network then licences its broadcasts to international cable networks to be shown worldwide. The Network's demand for films is P = 400,000 - 200Q. The Network pays NFL Films a price P, for each film and adds 100,000 for each film to get it ready to air. It also has FC,, = 100,000. NFL Films has MC, = 260,000 and FC,150,000. Since it sells only to the NFL Network, its demand is the same as the Network's demand and so Q Q = Q How many films will the NFL Network broadcast and licence in order to maximize its protits? a. 60 b. 50 c. 200 d. 100 =

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