A Monopolist Has a Constant Marginal Cost of $2 Per

Multiple Choice

A monopolist has a constant marginal cost of $2 per unit and no fixed costs.He faces separate markets in the United States and England.He can set one price p₁ for the U.S.market and another price p₂ for the English market.If demand in the United States is given by Q₁ = 7,000 - 700p₁ and demand in England is given by Q₂ = 3,200 - 400p₂, then the price in the United States will

A) be smaller than the price in England by $1.
B) be larger than the price in England by $3.
C) equal the price in England.
D) be larger than the price in England by $1.
E) be smaller than the price in England by $3.