What are the differential costs of the practice

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Reference no: EM132042177

Question: Read the following and then thoughtfully discuss the questions.

Often airline frequent flier programs upgrade high volume passengers one, three, or five days in advance. Discuss:

• What are the differential costs of this practice?

• What are the opportunity costs?

• What are the opportunity costs of not doing this?

• Would it be wise to sell a seat to a passenger walking up to the gate at the last minute a ticket based on the variable cost? Why or why not?

Reference no: EM132042177

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