Use the Following Scenario to Answer the Following Questions

Multiple Choice

Use the following scenario to answer the following questions:
In 2011,three firms (Firm A,Firm B,and Firm C) were selling cellular phone service for a price of $40 per month in Playa del Carmen,Mexico.Each firm serviced 100 cell phone customers; thus,all firms together serviced a total of 300 customers.Assume marginal cost is $0 (zero) for all firms and thus total revenue is equal to total profit.In 2012,Firms A and B each continued to service 100 customers,but Firm C now serviced 150 customers; thus,all firms together serviced a total of 350 customers.All firms now charge $30 per month.
-Due only to the price effect,profits for each firm decline by $1,000.Due only to the output effect,profits for both Firm A and Firm B did not change,and profits for Firm C increased by $1,500.It was in Firm C's interest to increase output because Firm C realized only ________ of the total $3,000 price effect,but it realized the full ________ of the total quantity effect.

A)
$1,000; $1,500
B) $2,500; $1,500
C) $2,250; $1,500
D) $1,750; $1,250
E) $2,000; $1,250