3- Gliberace’s Fashion Ac

3- Gliberace’s Fashion Ac

3- Gliberace’s Fashion Accessories of Las Vegas produces gem-stone encrusted formal wear for sale in Los Angeles and San Francisco subject to total cost TC = 100 + 6(QLA + QSF). Demand for Gliberace’s stones in the two cities is given by QLA = 70 – 2PLA and QSF = 50 – PSF. If Gliberace cannot price discriminate between the two cities, and so charges the same price in each, how much profit will the firm make?4- Professor writes a book. The demand for the book is P=20-Q. The fixed cost to produce the book is $10. Professor wants to sell the book as an ebook, downloadable from his website. Marginal cost in this case would be zero and it costs him nothing to run his website. He wants to give students the possibility of letting them pay whatever amount they want for the ebook. Suppose all students will pay their maximum willingness to pay. How much profit will the professor will make?Type your question here

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