4:21 lLTE Work 9. Suppose Campus Books, a profit- maximizing firm, is the only supplier of the textbook for a given class. The marginal cost of supplying each book is constant and equal to $10, and Campus Books has no fixed costs. The table below shows the reservation prices of the eight students enrolled in the class. Reservation Price Student (SBook) 60 54 48 42 U 36 V 30 24 18 If Campus Books is permitted to charge 2 prices, and the bookstore knows customers with a reservation price above $30 never bother with coupons, whereas those with a reservation price of $30 or less always use them, then the bookstore will set the list price of the book to be and the discounted price of the book to be RST
4:21 lLTE Work 9. Suppose Campus Books, a profit- maximizing firm, is the only supplier of the textbook for a given class. The marginal cost of supplying each book is constant and equal to $10, and Campus Books has no fixed costs. The table below shows the reservation prices of the eight students enrolled in the class. Reservation Price Student (SBook) 60 54 48 42 U 36 V 30 24 18 If Campus Books is permitted to charge 2 prices, and the bookstore knows customers with a reservation price above $30 never bother with coupons, whereas those with a reservation price of $30 or less always use them, then the bookstore will set the list price of the book to be and the discounted price of the book to be RST
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:4:21
lLTE
Work
9. Suppose Campus Books, a profit-
maximizing firm, is the only supplier of the
textbook for a given class. The marginal
cost of supplying each book is constant
and equal to $10, and Campus Books has
no fixed costs. The table below shows the
reservation prices of the eight students
enrolled in the class.
Reservation Price
Student
(SBook)
60
54
48
42
U
36
V
30
24
18
If Campus Books is permitted to charge 2
prices, and the bookstore knows customers
with a reservation price above $30 never
bother with coupons, whereas those with a
reservation price of $30 or less always use
them, then the bookstore will set the list price
of the book to be
and the discounted
price of the book to be
RST
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