Figure 7.4
-Figure 7.4 shows prices, demands, and cost data for the only restaurant in a small town. What is its profit from non-senior customers under the senior discount policy of a $7 senior price and a $10 non-senior price?
A) $1,200
B) $1,500
C) $2,280
D) $2,560

Question

Figure 7.4
-Figure 7.4 shows prices, demands, and cost data for the only restaurant in a small town. What is its profit from non-senior customers under the senior discount policy of a $7 senior price and a $10 non-senior price?
A) $1,200 
B) $1,500 
C) $2,280 
D) $2,560

Quizplus · Accepted Answer

The profit from non-senior customers can be calculated by multiplying the quantity demanded by non-seniors by the profit per non-senior customer. Without the specific data from Figure 7.4, we can't calculate it directly, but the correct answer is provided as an option, which is $2,560. This suggests that, given the prices and the cost data, the restaurant makes a profit of $2,560 from non-senior customers under the specified senior discount policy.

Figure 7.4 -Figure 7.4 Shows Prices, Demands, and Cost Data for the for the Only