Question

Stringer Bell sells two products, red candy for $4 and yellow candy for $5. In a...

Stringer Bell sells two products, red candy for $4 and yellow candy for $5. In a typical hour, 5 customers will buy only red candy and 4 customers buy only yellow candy, but there are 2 people who buy both.After asking around, Stringer Bell learns that the red-candy buyers would also buy yellow candy if it were to cost $2, and yellow-candy buyers would also buy red candy if they were sold for $2. Stringer Bell considers selling red and yellow candy together in a bundle, in addition to selling them separately at the original prices. What is the optimal price of the bundle? (You can assume that the cost of producing a good or creating a bundle is zero)

I know the answer is A but can anyone show/explain what the profits would be if I charged 7 or 8 dollars?

(a) 6 (b) 7 (c) 9 (d) 8

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