(Table: Maximum Willingness to Pay IV) Suppose That the Marginal

question 10

Multiple Choice

(Table: Maximum Willingness to Pay IV) Suppose that the marginal cost of a one-way airfare is $30. Assuming the firm can perfectly price discriminate, the profit-maximizing number of tickets is ____.

• A) 6
• B) 4
• C) 3
• D) 2

---

Definitions:

Simplify

The process of reducing an expression or equation to its simplest form, by performing arithmetic operations and eliminating complex parts.

Complex Fraction

A fraction where the numerator, the denominator, or both contain fractions.

Simplify

The process of expressing something in a more comprehensible or simpler form, in mathematics, typically reducing an expression to its simplest form.

Expression

A combination of symbols that represent a mathematical object, such as numbers, variables, and operation symbols, but without an equals sign.