Suppose the seller has marginal costs of $1 for each customer served, regardless of which version the customer purchases. The seller has zero Fixed Costs, other than (potentially) a Quasi-Fixed Cost of creating value subtracted versions as follows. If the seller wants to offer the “Low Quality Version,” he must incur a Quasi-Fixed Cost of $50,000 to create this version; if the seller wants to offer the “Very Low Quality Version,” he must incur a Quasi-Fixed Cost of $50,000 to create this version; if the seller wants to offer both the “Low Quality Version” and “Very Low Quality Version,” he must incur a Quasi-Fixed Cost of $100,000. The “Standard Version” has already been created, so providing it requires no costs other than the $1 marginal costs per unit. When maximizing profit, the seller will produce and sell