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A firm knows that they face two types of consumers but cannot distinguish whether a consumer belongs to Type A or Type B. Type A consumer is willing to pay $52 and Type B is willing to pay $47. Marginal cost of the product is $30. What price should the firm charge for the product and what should be value of the discount coupon? OP=$51, coupon value $4 O P=$56, coupon value $9 P=$50, coupon value=$3 P=$52, coupon value $5 P=$53, coupon value $6 P=$54 coupon value $7 OP=$55, coupon value $8

A firm knows that they face two types of consumers but cannot distinguish whether a consumer belongs to Type A or Type B. Type A consumer is willing to pay $52 and Type B is willing to pay $47. Marginal cost of the product is $30. What price should the firm charge for the product and what should be value of the discount coupon? OP=$51, coupon value $4 O P=$56, coupon value $9 P=$50, coupon value=$3 P=$52, coupon value $5 P=$53, coupon value $6 P=$54 coupon value $7 OP=$55, coupon value $8

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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A firm knows that they face two types of consumers but cannot distinguish whether a consumer belongs to Type A or Type B. Type A consumer is willing to pay $52 and Type B is willing to pay $47. Marginal cost of the product is $30. What price should the firm charge for the product and what should be value of the discount coupon? P=$51, coupon value $4 O P=$56, coupon value $9 O P=$50, coupon value=$3 P=$52, coupon value $5 P=$53, coupon value $6 P=$54 coupon value $7 P=$55, coupon value $8
Transcribed Image Text:A firm knows that they face two types of consumers but cannot distinguish whether a consumer belongs to Type A or Type B. Type A consumer is willing to pay $52 and Type B is willing to pay $47. Marginal cost of the product is $30. What price should the firm charge for the product and what should be value of the discount coupon? P=$51, coupon value $4 O P=$56, coupon value $9 O P=$50, coupon value=$3 P=$52, coupon value $5 P=$53, coupon value $6 P=$54 coupon value $7 P=$55, coupon value $8
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