Here is an economical graph. We see that if the company charges $2, they make no profit. The maximum amount of profit is at $6, and consumers view this as a fair price, so they buy it. If they charge $10, they once again have no profit.
Basically, if they charge too little, they don't make any money. Too much, and consumers won't purchase it. They happy medium is $6.
Part A.) Given the guidelines above that I explained, the price should be $6 to make a maximum profit.
Part B.) The absolute minimum would be just over $2. They'd make a few cents.
Part C.) (P) stands for price in this chart. So, P(10) would be what the company could charge-$10. However, they would gain no profit if they did so.
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