The Following Table Summarizes Six Potential Customers' Ages and Willingness

question 79

Multiple Choice

The following table summarizes six potential customers' ages and willingness to pay for a solo skydiving experience from SkyMasters.The aircraft has room for eight people,including the pilot and skydiving instructor.The marginal cost of adding each additional passenger is $100.SkyMasters holds significant market power for its region.
Use this information to answer the following questions:

-Assume that SkyMasters follows the profit-maximizing rule and that the company charges a single price for skydiving.Which potential customer(s) will not purchase a skydiving experience?

• A) Harold and Leslie
• B) Kristen and Jay
• C) Matt and Ivana
• D) Harold
• E) Matt

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Definitions:

European Union

A political and economic union of 27 European countries that are tied by a single market which allows for the free movement of goods, capital, services, and labor.

NAFTA

The North American Free Trade Agreement, a treaty entered into by the United States, Canada, and Mexico to eliminate trade barriers and facilitate cross-border movement of goods and services.

Free Capital Mobility

The unrestricted movement of financial capital and investment across borders, allowing for the global allocation of resources and investments.

Labor Mobility

The ease with which workers can move between jobs or geographic areas to pursue employment opportunities.