The Following Table Gives the Valuations of Fruit Juices and Health

Multiple Choice

The following table gives the valuations of fruit juices and health drinks by two groups of consumers in the city of Vanilla.A single producer of both products controls the entire market for beverages in this city and is considering strategies to bundle one bottle of health drink with one bottle of fruit juice.Assume that the marginal cost of supplying both varieties is $2 each.


$$\begin{array} { c | c | c | } \hline \text { Products } & \text { Group 1 } & \text { Group 2 } \\\hline \text { Health drink } & \$ 15 & \$ 6 \\\hline \text { Fruit Juices } & \$ 8 & \$ 20 \\\hline\end{array}$$
-Refer to Table .If the monopolist bundles the two goods, such that they are no longer available individually, what is the maximum price he can charge for the bundle and what will be his profit?

A) The highest price he can charge for the bundled good is $23 which earns him a profit of $38.
B) The highest price he can charge for the bundled good is $28 which earns him a profit of $48.
C) The highest price he can charge for the bundled good is $26 which earns him a profit of $44.
D) The highest price he can charge for the bundled good is $21which earns him a profit of $34.