Question: 5 . ( 1 0 ) ( Ch . 9 , Price Discrimination ) A firm with costs C ( Q ) = 1 ,

5.(10)(Ch.9, Price Discrimination) A firm with costs C(Q)=1,000+60Q +0.1Q2 is able to pricediscriminate between two groups of customers, with demands Q1=3,000-2p, and Q2=3500.5p respectively. How much does it sell to each group, and at what price? What would happen if it were forced to charge all its customers the same price? (Tip: for the second part of the question, get the sum of the two demand functions.

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