Scenario 14-5 An Airline Knows That There Are Two Types of Travelers

question 500

Multiple Choice

Scenario 14-5
An airline knows that there are two types of travelers: business travelers and vacationers.For a particular flight,there are 100 business travelers who will pay $600 for a ticket while there are 50 vacationers who will pay $300 for a ticket.There are 150 seats available on the plane.Suppose the cost to the airline of providing the flight is $20,000,which includes the cost of the pilots,flight attendants,fuel,etc.
-Refer to Scenario 14-5.How much profit will the airline earn if it sets the price of each ticket at $300?

• A) -$15,000
• B) -$5,000
• C) $25,000
• D) $45,000

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Definitions:

Somatoform Disorder

A mental disorder characterized by physical symptoms that are not fully explained by a general medical condition, substance use, or another mental disorder.

Neurotic Depression

A mental health condition featuring symptoms of depression that are usually less severe than major depressive disorder but include high levels of anxiety.

Conversion Reaction

A psychological response where emotional stress or conflict is converted into physical symptoms.

Simple Phobias

Excessive and irrational fears of specific objects, activities, or situations, that can lead to severe anxiety when encountered.