You've written your own Managerial Economics textbook that is going to be published by Dismal Science Press (DSP). DSP's earnings come in the form of profits from sales of the textbook. Your earnings come from royalties; that is, you receive 10% of sales revenues. Based upon prior sales of similar textbooks, DSP estimates the inverse demand for your textbook is P = 100 - 0.002Q. Further, DSP's cost function (which includes your royalty) is TC = 28Q -0.0002Q. According to your contract with DSP, the price of the textbook is negotiable. What is DSP's preferred price? (In other words, what price maximizes DSP's earnings?) P = $ 60 How many books are sold at DSP's preferred price? Q = 20000 How much does DSP earn at DSP's preferred price? It = $ 720000 How much do you earn at DSP's preferred price? Royalty = $ 120000 What is your preferred price? (In other words, what price maximizes your earnings?) P = $ 50 How many books are sold at your preferred price? Q = 25000 How much does DSP earn at your preferred price? It = $ 550005 How much do you earn at your preferred price? Royalty = $ 125000 DSP wants to keep you happy, but at the lowest possible cost to DSP. DSP offers you a one-time $5,000 lump-sum addition to your royalty if you will let them charge their preferred price. What happens to DSP's earnings with this offer? O A. It's impossible to know. O B. DSP earns less than they would have at their preferred price, but more than they would have at my preferred price. O C. DSP earns even more money than they would have at their preferred price. O D. DSP earns even less than they would have at my preferred price. Should you accept this offer? Why or why not? O A. No way, because my earnings will be lower than the earnings I would have received at my preferred price. They need to up their offer. O B. It's impossible to know. O C. Yes, because my earnings will equal the earnings I would have received at my preferred price. O D. Yes, because my earnings will be even greater than the earnings I would have received at my preferred price