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Posted: June 15th, 2022
Assume your typical customer has the demand function q = 20 – p and your marginal
Assume your typical customer has the demand function q = 20 – p and your marginal price is MC = 10 , as illustrated in the graph. Then, the optimum block pricing technique isa) block dimension = 10 items and value per block = 50 dollarsb) block dimension = 10 items and value per block = 150 dollarsc) block dimension = 5 items and value per block = 75 dollarsd) block dimension = 5 items and value per block = 125 dollarsI am pretty sure it’s both B or C. If somebody might work it out for me, that’d be nice. I’ve discovered it some the place else on-line however I feel the work could also be incorrect.
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