Table 7.2 -Table 7.2 Contains Price, Demand, and Cost Data for the for the Capri

question 139

Multiple Choice

Table 7.2
-Table 7.2 contains price, demand, and cost data for the Capri Theater, the only first-run movie theater in a small town. What is its profit from non-students under the single price policy?

• A) $300
• B) $360
• C) $450
• D) $540

Grasp the concept of optimal consumer choice and how it is determined on a graph.

Recognize the relationship between goods' characteristics (inferior, normal, substitutes, complements) and consumer choice behavior under income changes.

Understand the income and substitution effects of price changes on consumer choice.

Learn how the theory of consumer choice demonstrates key economic principles such as trade-offs.