TABLE 10- 2 Your Food- Services Company Has Been Named

question 92

Multiple Choice

TABLE 10- 2 Your food- services company has been named as the sole provider of meals at a small university.The cost and demand schedules are: $$\begin{array} { | c | c | c | c | c | } \hline \text { Sold per Day } & \begin{array} { c } \text { Price per } \\\text { Meal }\end{array} & \begin{array} { c } \text { Total } \\\text { Fixed Cost }\end{array} & \begin{array} { c } \text { Total } \\\text { Variable Cost }\end{array} & \begin{array} { c } \text { Total } \\\text { Revenue }\end{array} \\\hline 0 & \$ 3.50 & \$ 150 & \$ 0 & \$ 0 \\\hline 100 & \$ 3.25 & \$ 150 & \$ 300 & \$ 325 \\\hline 200 & \$ 3.00 & \$ 150 & \$ 500 & \$ 600 \\\hline 300 & \$ 275 & \$ 150 & \$ 650 & \$ 825 \\\hline 400 & \$ 250 & \$ 150 & \$ 750 & \$ 1000 \\\hline 500 & \$ 225 & \$ 150 & \$ 830 & \$ 1125 \\\hline 600 & \$ 200 & \$ 150 & \$ 905 & \$ 1200 \\\hline 700 & \$ 1.75 & \$ 150 & \$ 995 & \$ 1225 \\\hline\end{array}$$
-Suppose the market for some product can be divided into two segments,each with a linear demand curve.A monopolist can set a different price (but only one price) in each segment.The profit- maximizing price discrimination across these two market segments will lead to

• A)higher output with average revenue higher than the best single price.
• B)higher output with average revenue lower than the best single price.
• C)lower output with a higher average revenue than the best single price.
• D)lower output with total revenue higher than the single best price.
• E)the same output but higher average revenue than the best single price.

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Definitions:

Pneumothorax

A medical condition where air enters the space between the lung and chest wall, causing the lung to collapse.

Pneumonitis

Inflammation of lung tissue that is not caused by infection.

-osis

A suffix used in medical terminology to denote a condition, disease, or increase.

-itis

A suffix employed in medical terms to indicate the inflammation of a tissue or organ.