Roxy Theatre is a monopoly.Roxy discovers that at the price that maximizes its profit, seniors are not coming to the theatre.So Roxy conducts a survey. The table reveals the results of the survey.Roxy decides to price discriminate among patrons who attend on weekends and those whoattend on weekdays.Price(dollarsper ticket)WeekendsQuantity demanded(tickets per week)Weekdays18.00015.00100012.002000If the marginal cost of a show is $6.00, what price does Roxy charge on weekdays and whatprice does Roxy change on weekends to maximize profit?9.0030006.003002003.00300300If the marginal cost of a show is $6.00, Roxy will maximize profit by chargingon weekdays and charging.a ticket on the weekend.a ticket

A monopoly is when one seller controls an entire market, having no competition, and thus can set…

If the marginal cost of a show is $6.00, what price does Roxy charge on weekdays and what price does Roxy change on weekends to maximize profit? If the marginal cost of a show is $6.00, Roxy will maximize profit by charging, on weekdays and charging. a ticket on the weekend. a ticket

If the marginal cost of a show is $6.00, what price does Roxy charge on weekdays and what price does Roxy change on weekends to maximize profit? If the marginal cost of a show is $6.00, Roxy will maximize profit by charging, on weekdays and charging. a ticket on the weekend. a ticket

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter6: Statistical Inference

Section: Chapter Questions

Problem 29P: Carpetland salespersons average 8,000 per week in sales. Steve Contois, the firms vice president,...

See similar textbooks

Similar questions

Which one of the following statements is false? Group of answer choices A.Bill drives 20 each way between his home to his office – 40 miles round trip each day. During the day he drives to a client site. He drives a total of 63 miles that day. He may deduct the cost of 43 miles. B.Commuting expenses may be deductible if you are transporting tools. C.A consultant works out of her home. She may deduct the cost of driving to a client’s place of business. D.The expenses of driving between your regular job and a second job are deductible.
Suppose Frances earns $825 per week working as a programmer for PC Pros. She uses $9 to buy a box of aspirin at Pillmart Pharmacy. Pillmart Pharmacy pays Dmitri $450 per week to work the cash register. Dmitri uses $175 to purchase software from PC Pros. Identify whether each of the following events in this scenario occurs in the factor market or the product market. Event Factor Market Product Market Frances spends $9 to buy a box of aspirin. Frances earns $825 per week working for PC Pros. Dmitri spends $175 to purchase software from PC Pros. Which of the elements of this scenario represent a flow from a firm to a household? This could be a flow of dollars, inputs, or outputs. Check all that apply. a. Frances's labor b. The $450 per week Dmitri earns working for Pillmart Pharmacy c. The aspirin Frances receives d. The $175 Dmitri spends to purchase software from PC Pros
A local Pilates studio recently began offering a monthly subscription servlce for Its patrons. Suppose a particular patron at this studio has the following willingness-to-pay schedule, per sesslon. Session willingness to Pay 1st $77 2nd $66 3rd $55 4th $44 5th $33 6th $22 Suppose this consumer would not demand any more sesslons, even for free. Also assume that the marginal cost to the studlo, per sesslon, is constant at $11. At this price and quantity, consumer surplus At a price of $71.50 per sesslon, the number of sesslons demanded by this consumer would be Is and producer surplus is Suppose the studio has devised a new pricing scheme for consumers who demand more than 1 sesslon. This pricing scheme is a subscription service, whereby consumers can pay a flat fee of $237.60 and can have up to 6 sesslons total. Using this Eubscription pricing model, this consumer would demand sessions. Under this scenarlo, consumer surplus Is and producer surplus is (Hint: For consumer surplus,…
After reviewing financial reports of her company's daycare service, Camila determines it should be closed due to a loss. Revenues $120195 Variable costs $47953 Traceable (avoidable) fixed costs $70095 Allocated corporate overhead $45995 What would be the impact to net income of closing the daycare? State loss as negative, gain as positive. Round only your final answer to the nearest dollar.
A potential supplier has offered to sell Reuben the rolls for $0.90 each. If the rolls are purchased, 30% of the fixed overhead could be avoided. If Reuben accepts the offer, what will the effect on profit be? Increase in profit of $1,600 if he buys the rolls Increase in profit of $1,200 if he buys the rolls Decline in profit of $1,200 if he buys the rolls Decline in profit of $1,600 if he buys the rolls
Day Street Deli’s owner is disturbed by the poor profit performance of his ice cream counter. He has prepared the following profit analysis for the year just ended. Required: Criticize and correct the owner’s analysis.
Superior Markets, Incorporated, operates three stores in a large metropolitan area. A segmented absorption costing income statement for the company for the last quarter is given below: Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Total expenses Net operating income (loss) Selling expenses: Sales salaries Direct advertising General advertising* Store rent Depreciation of store fixtures Delivery salaries Depreciation of delivery equipment Total selling expenses Superior Markets, Incorporated Income Statement For the Quarter Ended September 30 Total $ 3,240,000 1,789,776 1,450,224 Administrative expenses: Store managers' salaries General office salaries* Insurance on fixtures and inventory Utilities Employment taxes General office-other* 882,360 413,640 1,296,000 $ 154,224 Total administrative expenses *Allocated on the basis of sales dollars. a. The breakdown of the selling and administrative expenses that are shown…
After reviewing financial reports of her company's daycare service, Camila determines it should be closed due to a loss. $120965 Variable costs $47970 Traceable (avoidable) fixed costs $70687 Allocated corporate overhead $45828 What would be the impact to net income of closing the daycare? State loss as negative, gain as positive. Round only your final answer to the nearest dollar. Revenues
A local movie theater owner explains to you that ticket sales on weekends and evenings are strong, but attendance during the weekdays, Monday through Thursday, is poor. The owner proposes to offer a contract to the local grade school to show educational materials at the theater for a set charge per student during school hours. The owner asks your help to prepare a CVP analysis listing the cost and sales projections for the proposal. The owner must propose to the school’s administration a charge per child. At a minimum, the charge per child needs to be sufficient for the theater to break even. Required Your team is to prepare two separate lists of questions that enable you to complete a reliable CVP analysis of this situation. One list is to be answered by the school’s administration, the other by the owner of the movie theater.
A bakery shop sells a cake. The case must be baked at the beginning of the day. Each unit of cake costs $28 and can be sold for $59. The shop will donate any unsold units for charity. The owner of the shop too many shortages is not desirable. She assumes that there is a penalty cost of $11 for each unit of shortage. Suppose the shop bakes 71 units of cakes at the beginning of the day (before the shop is open). The demand for the cakes turns out to be 62 units. What is the profit for the day? Please show calculation in details
The manager of an automobile dealership is considering a new bonus plan designed to increase sales volume. Currently, the mean sales volume is 14 automobiles per month. The manager wants to conduct a research study to see whether the new bonus plan increases sales volume. To collect data on the plan, a sample of sales personnel will be allowed to sell under the new bonus plan for a one-month period. a. Develop the null and alternative hypotheses most appropriate for this situation. b. Comment on the conclusion when H0 cannot be rejected. c. Comment on the conclusion when H0 can be rejected.
Lappin Community Transit (LCT) is a not-for-profit mostly volunteer organization that provides transportation to seniors. As a not-for- profit, it refers to an excess of revenues over costs as a "surplus" and an excess of costs over revenues as a "deficit." LCT prices a round-trip ticket to downtown at $2.90 per trip. The variable costs of a ride are $4.65. The fixed costs of LCT, primarily for its paid staff and van leases, are $88,000 annually. The town of Lappin provides LCT with a flat subsidy, partially funded by downtown merchants, of $148,600 annually plus a per-trip subsidy of $0.25. Required: a. What is the break-even point for LCT in terms of number of round-trip ticket sold? b. The director of LCT expects 23,600 riders this year and asks you if it will operate at a surplus or deficit. What is your answer? Complete this question by entering your answers in the tabs below. Required A Required B What is the break-even point for LCT in terms of number of round-trip ticket sold?…