Use the Following to Answer Question

question 97

Multiple Choice

Use the following to answer question:
Figure 10.8
-(Figure 10.8) If the golf instructor set a single price to maximize profit, she would earn producer surplus of _____. If she set a price of $120 an hour for the first four hours of instruction and $80 an hour for each hour of instruction beyond four hours, she would earn producer surplus of _____.

• A) $480; $960
• B) $320; $400
• C) $500; $800
• D) $80; $120

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Definitions:

Melanocytes

Cells located in the skin and hair follicles that produce melanin, giving skin, hair, and eyes their color.

Melanin

A pigment produced by melanocytes in the skin, hair, and eyes, responsible for coloration and protection against ultraviolet light.

Itch Mite

A small parasite that causes severe itching by burrowing into the skin, leading to conditions such as scabies.

Contagious

Can be spread from one individual to another through either direct or indirect means of contact.