What is the maximum profit the owner can make, Microeconomics

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What is the maximum profit the owner can make

A cinema hall has a capacity of 150 seats. The owner can offer students a discount on the price when they show their student IDs. The demand for tickets from students is Ds = 220 - 40Ps;

where Ps is the price of tickets for students after the discount.

The demand for tickets for non-students is Dn = 140 - 20Pn;

where Pn is the price of tickets for non-students.

i. What is the maximum prot the owner can make?
ii. What is the maximum prot he could make if the demand functions of students and non-students were interchanged?

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Microeconomics: What is the maximum profit the owner can make

Reference No:- TGS038250

Have a Question? (oR Write a Review)

Recent Questions Asked Microeconomics

Q : Computing the present value-discount rate

Q : Find the marginal cost of a string of production level

Q : Estimate cost of capital for bond with warrants

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Q : What is the maximum profit the owner can make

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Q : Proposal form viewpoint of haig-simons criterion

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Request for Solution File

Ask an Expert for Answer!!

Microeconomics: What is the maximum profit the owner can make

Reference No:- TGS038250

Recent Questions Asked Microeconomics

Q : Computing the present value-discount rate

Q : Find the marginal cost of a string of production level

Q : Estimate cost of capital for bond with warrants

Q : Gain from trading to capture the dividend

Q : What is the maximum profit the owner can make

Q : Making a decision about the two initiative

Q : Proposal form viewpoint of haig-simons criterion

Q : Target debt-equity ratio

Q : Mutual fund fees around the world

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