What prices should be charged for each kind of membership

Assignment Help Econometrics
Reference no: EM13202241

Mapleville Tennis & Golf Club offers golf and tennis memberships to the residents of Mapleville. Market research has found there are two types of families living in the city: 120 golf-oriented families and 100 tennis-oriented families. Information on the demand prices for golf and tennis memberships by family type is given below. It is not possible to identify family types for pricing purposes, and all costs are fixed so that maximizing total revenue is equivalent to maximizing profit.

Type of family

Tennis membership only

Golf membership only

Tennis-oriented

$150

$50

Golf-oriented

$75

$200

If Mapleville Tennis & Golf Club plans to offer golf and tennis memberships separately, what prices should be charged for each kind of membership it wishes to maximize profit?

Reference no: EM13202241

Questions Cloud

Find the probability that a shipment will be accepted : If 1.8% of the cartridges produced by Starr is defective, find the probability that a shipment will be accepted. (Round your answer to four decimal places.)
How many possible seating arrangements are there : seating capacity of six is to be used by six employees who have formed a car pool. If only four of these employees can drive, how many possible seating arrangements are there for the group?
How much rent should be charged to maximize revenue : how much rent should be charged to maximize revenue?
What is the probability that during the next week : A life insurance company has determined that each week an average of seven claims is filed in its Nashville branch.
What prices should be charged for each kind of membership : Mapleville Tennis & Golf Club offers golf and tennis memberships to the residents of Mapleville. Market research has found there are two types of families living in the city: 120 golf-oriented families and 100 tennis-oriented families.
Find the values of a and b for the curve : Find the values of a and b for the curve
Explain how about if you are a franchised dealer : A small-volume foreign auto maker limits the number of its franchised dealers in the United States and gives them exclusive territories. There are also non-dealers who have no official connection with the manufacturer.
What rent should the manager charge to maximize revenue : Similarly, one additional unit will be occupied for each 5 dollar decrease in rent. What rent should the manager charge to maximize revenue?
What dimensions will produce the largest total area : A rancher has 248 feet of fencing to enclose two adjacent rectangular corrals. What dimensions will produce the largest total area

Reviews

Write a Review

Econometrics Questions & Answers

  Find the value of which he should deposit every month

John is planning to retire in 15 years. He wishes to deposit an equal amount (A) every 6 months until he retires so that, beginning one year after his retirement, he will receive $30,000 for the next 15 years.

  What is the present worth of the building plan

A plan to build a new tower would involve a building tax that would collect $6,745 each year for all people in a certain city. If the cash flow begins 2 years from now, what is the present worth of the building plan over a 10 year planning period ..

  Identify the variable that does not change

Compute the percentage change n nominal GDP, real GDP, and the GDP deflator n 2009 and 2010 from the percentage year. For each year, identify the variable that does not change

  Identify the slope and intercept of the budget line

Building on (b), suppose that the worker can earn overtime for each hour above 40 hours worked per week. Her base pay remains at $10/hour, but she earns one and one-half time for each hour beyond 40 hours.

  Is there any involuntary unemployment at any wage

certification roughly equivalent to a high school diploma. The demand schedule for new hires with le bac and the supply schedule for similarly credentialed new job seekers are given in the accompanying table. The price here- given in euros, the cu..

  Are rye bread and wheat bread substitute or complements

Let the market demand for rye bread be given by Q = 500 I - 250Prye 400Pwheat, where Q is monthly demand in number of loaves, I is average monthly income in dollars, Prye is the price of a loaf of rye bread, and Pwheat is the price of a loaf of wh..

  Calculate the sales of cfc cornflakes this year

competitive brand of cornfl akes, in dollars per 10- ounce box P M = price of milk, in dollars per quart A = advertising expenditures of CFC cornfl akes, in hundreds of thousands of dollars per year This year, P X = $ 2, I = $ 4, P Y = $ 2.50, P M..

  What the equilibrium could be if the interest rate increased

Consider the inter-temporal model of consumption of a household who has a first period income of 300 and a second year income of 330. The interest rate is 10%. The household saves 100 in period one. a) Write the budget  constraint of period one and..

  Determine the concentration ratio in the industry

There are six companies in the industry. Assume their sales in the year 2006 are as follows, Determine the concentration ratio in the industry

  What is this countrys unemployment rate

The number of people without jobs who had stopped looking for one, believing that there were no jobs out there for them, was about 80,000, which represented a fifth of those not in the labor force. Further, the number of people with jobs throughou..

  The firm faces how much selling price

Making dresses is a labor-intensive process. Indeed, theproduction function of a dressmaking firm is well described by theequation Q = L - L2/800, where Q denotes the number ofdresses per week and L is the number of labor hours per week.

  Why can we be sure that no household will choose electricity

Kristina knows that deadweight loss is something that this small town can do without. She suggests that each household be required to pay a fixed amount just to receive any electricity at all, and then a per-unit charge for electricity.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd