A movie monopolist sells to students and adults. The demand function for students is and the demand function for adults is . The marginal cost is $2 per ticket. Suppose the movie theater can price discriminate. What price per ticket does the theater charge adults to maximize profits?
A) $4
B) $7
C) $6
D) $12

Question

A movie monopolist sells to students and adults. The demand function for students is  and the demand function for adults is  . The marginal cost is $2 per ticket. Suppose the movie theater can price discriminate. What price per ticket does the theater charge adults to maximize profits?
A) $4 
B) $7 
C) $6 
D) $12

Quizplus · Accepted Answer

The Answer of A movie monopolist sells to students and adults. The demand function for students is  and the demand function for adults is  . The marginal cost is $2 per ticket. Suppose the movie theater can price discriminate. What price per ticket does the theater charge adults to maximize profits?
A) $4 
B) $7 
C) $6 
D) $12

A Movie Monopolist Sells to Students and Adults