While the following question is ostensibly about a pricing strategy for monopolists (called "two-part pricing"), the only tools you will need to answer this question are graphs such as those we have been studying. Though this problem involves little if any explicit math, many of you will likely find it difficult-I know I did the first time I saw it. Doing the problem will aid your understanding and your ability to interpret graphs. Polito's Pizza is the only pizza place in Oshkosh, WI (where I grew up) that is open late at night and serves pizza by the slice. We are assuming that no matter how badly Polito's treated its patrons (college students, Polito's had no overhead expenses-that is, Polito's entire cost of doing business was $2 per slice it sold. Now the question, modified only slightly from the original: Polito's can serve each slice of pizza at a cost to itself of $2 per slice. a. Draw a budget line facing a consumer who has M dollars to spend, cares only about pizza and expenditures on other goods (measured in dollars), and is faced with a price of $2 per slice. Call this the "zero-profit budget constraint." b. Polito's is not forced to charge $2 per slice. Suppose that the Polito's instead offered the customer an all- or-nothing offer adding a point somewhere inside the zero-profit budget constraint. If the patron chose this point over specializing in the consumption of other goods [i.e., buying no pizza and instead spending all M dollars on other goods], then what would be the Polito's profits? (Hint: it is a certain vertical distance. Do you understand why?) Consider the indifference curve going through the consumption bundle available if the consumer purchased only other goods (this is not necessarily the highest indifference curve available; it is only one of the available indifference curves). Can the Polito's somehow induce the customer to a point below this curve without using force? What point along this indifference curve maximizes Polito's profits? What do we know about the slope of the indifference curve at this point? d. Use your diagram(s) to describe a cover charge and price per slice that maximizes Polito's profits. C.