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You are an executive for SuperComputer, Inc.(SC), which rents out super computers. SC receives a fixed rental payment per time period in exchange for the

You are an executive for SuperComputer, Inc.(SC), which rents out super computers. SC receives a fixed rental payment per time period in exchange for the right to unlimited computing at a rate of P cents per second. SC has two types of potential customers of equal number10 businesses and 10 academic institutions.

Each business customer has the demandfunction:

Q=15P,

where Q is in millions of seconds permonth; each academic institution has thedemand:

Q=12P.

The marginal cost to SC of additional computing is 2 cents persecond, regardless of volume.

a. Suppose that you could separate business and academic customers. What rental fee and usage fee would you charge eachgroup? What would be yourprofits?(Round all answers to the nearestinteger)

For businessusers, the rental fee would be $

nothing

per month and the usage fee is

nothing

cents per second.

For academicinstitutions, the rental fee would be $

nothing

per month and the usage fee is

nothing

cents per second.

SC's total profits are $

nothing

per month.

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