The editor of Clinton magazine is considering three alternative prices for her new monthly periodical

The editor of Clinton magazine is considering three alternative prices for her new monthly periodical. Her estimate of price and quantity demanded are:

Price Quantity Demanded

$7.93 24,300

$6.98 31,800

$5.88 36,800

Monthly costs of producing and delivering the magazine include $92,300 of fixed costs and variable costs of $2.10 per issue.

Which price will yield the largest monthly profit? (Enter loss using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

4 QUESTIONS:

Price Profit/(loss)

$7.93 _________________

$6.98 _________________

$5.88 _________________

A Price of ___________ yields the largest monthly profit (enter the largest monthly profit amount in dollars rounded to 2 decimal places)