A Price-Setting Firm Faces the Following Estimated Demand and Average

A price-setting firm faces the following estimated demand and average variable cost functions: where is the quantity demanded,P is price,M is income,and is the price of a related good.The firm expects income to be $40,000 and to be $53.Total fixed cost is $2,600,000.What is the profit-maximizing choice of output?

A) 8,000 units
B) 10,000 units
C) 12,000 units
D) 20,000 units
E) 0 units,the firm shuts down