Suppose There Are Two Types of Consumers with Two Different

question 57

Multiple Choice

Suppose there are two types of consumers with two different demand curves,and the marginal cost of the monopoly is $10.What could be the possible price under two-part pricing that will maximize the monopoly profit?

• A)$8
• B)$9
• C)$10
• D)$12

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Definitions:

Sales Amount

The total revenue generated from the sale of goods or services over a specific period.

FOB Destination

A shipping term indicating that the seller is responsible for the goods and the cost of transport until they are delivered to the buyer's location.

Prepaid Freight Costs

Expenses paid in advance for the transportation of goods.

Purchases Discount

A reduction in the price paid for goods and services if payment is made within a certain period, often used to encourage early payment.