Use the Following to Answer Question

question 22

Multiple Choice

Use the following to answer question:
Table 10.3
-(Table 10.3) Suppose that Fender is trying to practice indirect price discrimination through versioning. It plans to offer the cheaper American Standard version of its guitar for consumers who are highly price-sensitive and the more expensive American Deluxe version to those who are not. To be incentive-compatible Fender should charge _____ for the American Standard and _____ for the American Deluxe.

• A) $800; $1,599
• B) $900; $1,001
• C) $999; $1,499
• D) $1,119; $1,750

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Definitions:

Grammatical Errors

Mistakes made in the use of grammar, affecting the clarity and correctness of written or spoken language.

Unnecessary Fillers

Superfluous words or sounds used by speakers during communication that do not add meaning to the message.

Long Lead-ins

Long lead-ins are introductory sections in writing or speeches that take considerable time before getting to the main point or argument.

Sentence Fillers

Words or phrases, often carrying little meaning, used to fill pauses or hesitation in speech, such as "um," "like," or "you know."