Based on the information in Question 7.2, determine the profit-maximizing uniform price. Does Paradise Cruises earn a higher profit under peak-load pricing or uniform pricing? Compare consumer surplus under these two pricing methods.

Question 7.2

Paradise Cruises has a monopoly in renting luxury yachts for sailing in the Caribbean Sea. In winter its monthly inverse demand function is p = 200 - q. In summer the inverse demand function is p = 200 - 2q. Paradise has a total of 50 yachts available for rental on a monthly basis.