logo
Ask Question
VS

vaishali sharma

About
Answers (2)Questions (0)

Answers

VS

Answered

​Wealthy professors are more likely to shop at high end stores with shorter wait times at the cashier than poor students because

A) ​They value the item more than the student
B) They like wasting money
C) The opportunity cost of waiting in a cashier line is higher for professors than for undergraduate students
D) ​They like to show off

On Sep 25, 2024

C
VS

Answered

Senior Discounts
The Doug's Delicious Diner faces a demand curve for its daily special in which there are an equal number of potential buyers at every $0.20 price point between $8.00 and $6.00.If the marginal cost is $6.35,what price maximizes profits? Doug notices that at this price the unserved portion of demand are all senior citizens.If it offered a senior discount,how much should it be?

On Sep 22, 2024

Starting at $8.00,as the diner lowers the price in increments of $0.20,it earns another sale.Multiply this price times this quantity to get revenue and then take the difference from the last price point to get the MR.At a price of $7.20,MR > MC but at $7.00 MR < MC,so charge $7.20.
Starting at $8.00,as the diner lowers the price in increments of $0.20,it earns another sale.Multiply this price times this quantity to get revenue and then take the difference from the last price point to get the MR.At a price of $7.20,MR > MC but at $7.00 MR < MC,so charge $7.20. At his price, no seniors are served and Doug can charge them a separate price if they show proper ID. The demand curve leftover for them is given by: For seniors, at a price of $6.80, MR > MC but at $6.60 MR < MC, so charge $6.80. So Doug can offer them a $0.40 discount.
At his price, no seniors are served and Doug can charge them a separate price if they show proper ID. The demand curve leftover for them is given by:
Starting at $8.00,as the diner lowers the price in increments of $0.20,it earns another sale.Multiply this price times this quantity to get revenue and then take the difference from the last price point to get the MR.At a price of $7.20,MR > MC but at $7.00 MR < MC,so charge $7.20. At his price, no seniors are served and Doug can charge them a separate price if they show proper ID. The demand curve leftover for them is given by: For seniors, at a price of $6.80, MR > MC but at $6.60 MR < MC, so charge $6.80. So Doug can offer them a $0.40 discount.
For seniors, at a price of $6.80, MR > MC but at $6.60 MR < MC, so charge $6.80. So Doug can offer them a $0.40 discount.