A plane from Cairo to Riyadh is about to take off, but it still has a few seats empty. If the average cost per seat is $500, what price should the airline charge passengers in standby to fill in those remaining seats? (Consider that quantitative decisions are made at the margin.) a. At least $1,000 b. Any price that will cover the additional cost of an additional passenger to the airline. c. Slightly more than $500 d. Exactly $500
A plane from Cairo to Riyadh is about to take off, but it still has a few seats empty. If the average cost per seat is $500, what price should the airline charge passengers in standby to fill in those remaining seats? (Consider that quantitative decisions are made at the margin.) a. At least $1,000 b. Any price that will cover the additional cost of an additional passenger to the airline. c. Slightly more than $500 d. Exactly $500
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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