Question: Suppose Apple has started production on a new virtual reality headset. Unsure of how much to charge for the headset, they hire a consulting firm

Suppose Apple has started production on a new virtual reality headset. Unsure of how much to charge for the headset, they hire a consulting firm to estimate demand. The consulting firm finds that demand is described by Q = 10,000 - 5P (and inverse demand is described by P = 2,000 - 0.2Q), where Q indicates quantity of headsets sold and P denotes price in US dollars. If the marginal cost of producing the headsets is constant at $400 what price should they charge?

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