Suppose a monopolist is able to segment its market into 2 consumer groups based upon known differences in willingness to pay. Group A's demand function is given by P = 160 - 2Q and group B's demand function is given by P = 120 - Q. In addition, the marginal cost of producing and selling a unit to group A is the same as the marginal cost of producing and selling a unit to group B. Specifically, MC = 20. If the firm practices second degree (or multi-market) price discrimination, then total profit will be maximized by:
i. selling Q = 35 units at a price of P = $90 to members of group A
ii. selling Q = 70 units at a price of P = $20 to members of group A
iii. selling Q = 50 units at a price of P = $70 to members of group B
iv. selling Q = 75 units at a price of P = $45 to members of group B
A- i and iii
B-i and iv
C- ii and iii
D- ii and iv