Suppose there are three types of concertgoers at symphony hall.Staff number 30 and are willing to pay $50.Students number 20 and are willing to pay $30.Music lovers number 50 and are willing to pay $70.The cost of the concert is $500.The hall must charge in increments of $5 (that is,$20 or $25,but not $23),and wants to maximize revenue.
a.If symphony hall can charge only one price,how much revenue is earned?
b.If symphony hall can perfectly price discriminate,how much revenue is earned?

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The Answer of Suppose there are three types of concertgoers at symphony hall.Staff number 30 and are willing to pay $50.Students number 20 and are willing to pay $30.Music lovers number 50 and are willing to pay $70.The cost of the concert is $500.The hall must charge in increments of $5 (that is,$20 or $25,but not $23),and wants to maximize revenue.
a.If symphony hall can charge only one price,how much revenue is earned?
b.If symphony hall can perfectly price discriminate,how much revenue is earned?

Suppose There Are Three Types of Concertgoers at Symphony Hall