8.3 Using the same data as in Spreadsheet Exercise 8.1, assume that City Cement is an incumbent monopoly and Mountain Cement is a potential entrant. City chooses an output level and then Mountain decides whether or not to enter the industry. Mountain can avoid paying fixed costs if it decides not to enter. Create a modified version of the spreadsheet used for Exercise 8.1 to determine what output City should produce now to maximize profit. Is entry blockaded, deterred, or accommodated? (Hint: Mountain does not enter if it will earn a negative profit. If it does not enter, its output is 0.) How would your answer change if fixed costs were 2 instead of 6?