Most Movie Theatres Charge Different Prices to Different Groups of Customers

question 137

Multiple Choice

Most movie theatres charge different prices to different groups of customers for movie admission but not on movie popcorn. Which of the following is a reason for this?

• A) because the markup on movie popcorn is very high and movie theatres do not want to forego this source of revenue
• B) because the demand for popcorn is very high relative to the demand for movie admissions
• C) because it is easier to limit resale in movie admissions but not in popcorn
• D) because the cost of operating a concession stand in a movie theatre is very high compared to the cost of showing a movie

---

Definitions:

Austria-Hungary

Austria-Hungary, also known as the Austro-Hungarian Empire, was a dual monarchy in Central Europe from 1867 to 1918, composed of the Austrian Empire and the Kingdom of Hungary.

Balkans Crisis

A sequence of political and military events in the early 20th century that escalated tensions among the Great Powers and contributed to the outbreak of World War I.

Adriatic

A body of water separating the Italian Peninsula from the Balkan Peninsula, and the Adriatic Sea is known for its deep blue waters and historic coastal communities.

Francis Ferdinand

Archduke of Austria-Este whose assassination in Sarajevo in 1914 sparked the beginning of World War I.