
Figure 16-5
-Refer to Figure 16-5.Suppose the firm represented in the diagram decides to use a two-part pricing strategy such that it charges a fixed fee and a per-unit price equal to the competitive price.(This is also called an optimal two-part tariff.) What is the total revenue it can expect to collect from the fixed fee portion of the price?
A) $2,560
B) $5,760
C) $7,870
D) $10,240
Correct Answer:
Verified
Q186: Cost-plus pricing is a reasonable way to
Q187: Figure 16-5 Q188: With an optimal two-part tariff Q189: Figure 16-5 Q190: If marginal cost is zero, with an Q192: Consider the following pricing strategies: Q193: A firm using a two-part tariff can Q194: Consider the following pricing strategies: Q195: Figure 16-5 Q196: Which of the following is not an Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
A)consumer surplus equals
A.perfect price discrimination
B.charging
A.perfect price discrimination
B.charging