Three consumers who want to buy a new car have the following valuations for dealer options:
$$\begin{array} { | l | l | l | }
\hline & \text { Air Conditianer } & \text { Power Brakes } \
\hline \text { Consumer 1 } & \$ 1,000 & \$ 500 \
\hline \text { Consurner 2 } & \$ 800 & \$ 300 \
\hline \text { Consumer 3 } & \$ 100 & \$ 800 \
\hline
\end{array}$$ Assuming costs are zero,how much would the dealer make if it priced power brakes at $800,priced air conditioners at $200,and sold the bundle for $1,300?

Question

Three consumers who want to buy a new car have the following valuations for dealer options:
 $$\begin{array} { | l | l | l | } 
\hline & \text { Air Conditianer } & \text { Power Brakes } \
\hline \text { Consumer 1 } & \$ 1,000 & \$ 500 \
\hline \text { Consurner 2 } & \$ 800 & \$ 300 \
\hline \text { Consumer 3 } & \$ 100 & \$ 800 \
\hline
\end{array}$$ Assuming costs are zero,how much would the dealer make if it priced power brakes at $800,priced air conditioners at $200,and sold the bundle for $1,300?

Quizplus · Accepted Answer

The Answer of Three consumers who want to buy a new car have the following valuations for dealer options:
 $$\begin{array} { | l | l | l | } 
\hline & \text { Air Conditianer } & \text { Power Brakes } \
\hline \text { Consumer 1 } & \$ 1,000 & \$ 500 \
\hline \text { Consurner 2 } & \$ 800 & \$ 300 \
\hline \text { Consumer 3 } & \$ 100 & \$ 800 \
\hline
\end{array}$$ Assuming costs are zero,how much would the dealer make if it priced power brakes at $800,priced air conditioners at $200,and sold the bundle for $1,300?

Three Consumers Who Want to Buy a New Car Have