The Figure Given Below Shows the Demand Curves of Two

question 78

Multiple Choice

The figure given below shows the demand curves of two classes of buyers for tickets to a football match. Figure 10.4 D₁: Demand curve of group 1
D₂: Demand curve of group 2
MR₁: Marginal revenue of group 1
MR₂: Marginal revenue of group 2
MC: Marginal cost
Refer to Figure 10.4.What price must be charged to both the groups to maximize profits?

• A)P₁
• B)P₂
• C)Group 1 must be charged P₁ and group 2 must be charged P₂.
• D)Group 1 must be charged P₂ and group 2 must be charged P₁.
• E)Both the groups must be charged a price that is equal to the marginal cost.

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Definitions:

Individual's Emotions

The feelings and emotional states experienced by a person, which can influence their behavior and decision-making.

Unconscious Need

A desire or requirement that an individual may not be explicitly aware of but influences their behavior or decisions.

Sales Presentation

A sales presentation is a persuasive demonstration or pitch designed to introduce a product or service to a potential customer, aiming to secure a sale.

Core Principles

Fundamental beliefs or values that are at the heart of a system, organization, or philosophy.