The average consumer at a firm with market power has an inverse demand function of P=10 - 4Q. The firm's total cost function is C=2Q. If the firm engages in two-part pricing, what is the optimal fixed fee to charge each consumer? Multiple Choice O O O $20 $8 $2 $16

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The average consumer at a fim with market power has an inverse demand function of

P = 10 - 40

. The firms total cost function is

C = 2 O

if the flim engages in fwo part pricing. what is the optimal ficed fee to charge each consumer? Wuple Choce

$20

53 12 S16

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