The graph below represents the demand graph of a monopolist.

This firm uses price discrimination to increase its profits. What is the change in the consumer surplus due to the price discrimination?

A)	$30
B)	$90
C)	−$160
D)	−$250
E)	$500

 
 

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3. Nortell Enterprises is forecasting EPS as $4.00 per share for next year. The firm has 10,000 shares outstanding, it pays 12% interest on its debt, and tax rate is 40%. Estimated fixed costs $90,000 and variable costs are 40% of revenue. Total assets are $500,000 and capital structure is 40% debt 60% equity. What should be the sales level for EPS to be equal to above forecast of $4? 3. Nortell Enterprises is forecasting EPS as $4.00 per share for next year. The firm has 10,000 shares outstanding, it pays 12% interest on its debt, and tax rate is 40%. Estimated fixed costs $90,000 and variable costs are 40% of revenue. Total assets are $500,000 and capital structure is 40% debt 60% equity. What should be the sales level for EPS to be equal to above forecast of $4?