You have estimated that all consumers who buy from your


You have estimated that all consumers who buy from your firm have identical demands for your product. Each customer's demand is given by Q = 20 - (P/2), and your total cost of production is TC = 45 + 20 Q. You want to devise a two-part pricing strategy (T ; P), where T represents the fixed fee and P the price per unit. Given this information, the optimal two-part pricing is

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Business Economics: You have estimated that all consumers who buy from your
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