Question: A department store has purchased 5,000 candy boxes to be sold during the Halloween sales season. The season lasts three months: two months before Halloween
A department store has purchased 5,000 candy boxes to be sold during the Halloween sales season. The season lasts three months: two months before Halloween and one month after Halloween is past.
The store manager forecasts that customers buying in the first month are likely to be less price sensitive, while that purchasing after Halloween expect to receive deep discounts. The demand curves in each of the three months are forecast to be as follows:
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