*******USE EXCEL FOR ALL THREE SOLUTIONS AND PLEASE EXPLAIN YOUR WORK*********

eBike, an electronic bicycle manufacturer, has identified two customer segments, one is willing to pay a higher price for a customized bicycle and the other one is more price sensitive and is willing to pay for standard bicycles. Demand curve for the customers willing to pay for customized bicycles is d₁ = 11,000 - 25_p1. Demand curve for the more price sensitive customers is d₂ = 11,000 - 45_p2. Assume production cost for each bicycle (standard and customized) is c = $160 per unit.

a. using excel, what price should eBike charge each segment if its goal is to maximize profits?

b. using excel, If eBike was to charge a single price over both segments, what should it be? How much increase in profits does differential pricing provide?

c. using excel, If total production capacity is limited to 5,000 units, what should eBike charge each segment?

*******USE EXCEL FOR ALL THREE SOLUTIONS AND PLEASE EXPLAIN YOUR WORK*********