Multiple Choice
Use the figure below to answer the following questions.
Figure 12.4.6
-Prime Pharmaceuticals has developed a new asthma medicine,for which it has a patent.An inhaler can be produced at a constant marginal cost of $2 per inhaler.The demand curve,marginal revenue curve,and marginal cost curve for this new asthma inhaler are shown in Figure 12.4.6.The patent gives Prime Pharmaceuticals a monopoly for its new inhaler.If Prime Pharmaceuticals can perfectly price discriminate,then it
A) sells 16 million inhalers.
B) charges a price of $2 for each inhaler it sells.
C) sells inhalers for $6 each.
D) makes zero economic profit.
E) Both A and B are correct.
Correct Answer:

Verified
Correct Answer:
Verified
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