Table 17-5 The Information in the Table Below Shows the Total Demand

question 13

Multiple Choice

Table 17-5
The information in the table below shows the total demand for premium-channel digital cable TV subscriptions in a small urban market. Assume that each digital cable TV operator pays a fixed cost of $200,000 (per year) to provide premium digital channels in the market area and that the marginal cost of providing the premium channel service to a household is zero.
-Refer to Table 17-5. If there is only one digital cable TV company in this market, what price would it charge for a premium digital channel subscription to maximize its profit?

• A)$30
• B)$60
• C)$90
• D)$150

Analyze the effects of communication styles and channels in international management contexts.

Understand the dynamics of group decision-making and factors that influence it.

Differentiate between need theories and process theories of motivation.

Recognize the role of perceptual biases and schemas in affecting judgment and decision-making.

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Definitions:

Difference-In-Difference

A statistical technique used to measure the effect of a treatment or intervention by comparing the changes in outcomes over time between a treatment group and a control group.

Free Warranty

A promise or guarantee provided at no extra charge that covers repair or replacement of a product within a specified period.

Type I Errors

The incorrect rejection of a true null hypothesis, also known as a "false positive."

Difference-In-Difference

Difference-in-difference is a statistical technique used in econometrics and quantitative research to measure the effect of a treatment or intervention by comparing the changes in outcomes over time between a group that's exposed to the treatment and a group that's not.