Restaurant Pricing. Consider a restaurant that charges S20 for all you can eat and has 20 customers at this price. The slope of the demand curve is - $0.10 per meal, and the marginal cost of providing a meal is $6. Hint: The y-intercapt equals the charge plus the (abanlute value of the slope x the number of customera), and the x-intercept equals the y-intercept divided by the alope. 1.) Usu the line drawing fool to draw and label the domand ine. 2.) Use the line drawing tool to draw and label the marginal revenue line. 3.) Use the line drawing tool to draw the marginal cost line. Carefully follow the instruetions above, and only draw the required objects. The profit-maximizing quantity ismeals. (Entur your response rounded to the nearest unit.) The profit-maximizing pricu is $ (Enter your rusponse rounded to the nuarust dollar.)
Restaurant Pricing. Consider a restaurant that charges S20 for all you can eat and has 20 customers at this price. The slope of the demand curve is - $0.10 per meal, and the marginal cost of providing a meal is $6. Hint: The y-intercapt equals the charge plus the (abanlute value of the slope x the number of customera), and the x-intercept equals the y-intercept divided by the alope. 1.) Usu the line drawing fool to draw and label the domand ine. 2.) Use the line drawing tool to draw and label the marginal revenue line. 3.) Use the line drawing tool to draw the marginal cost line. Carefully follow the instruetions above, and only draw the required objects. The profit-maximizing quantity ismeals. (Entur your response rounded to the nearest unit.) The profit-maximizing pricu is $ (Enter your rusponse rounded to the nuarust dollar.)
Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
14th Edition
ISBN:9781305506381
Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Chapter3: Demand Analysis
Section: Chapter Questions
Problem 13E
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