Suppose that members of the Fox Golf and Country Club must pay an annual membership fee, M, to be able to play golf at the club.  In addition, they must pay a usage fee, u, for each round of golf they play.   Suppose that the club caters only to a select group of golfers who are all alike, each having a demand for rounds of golf given by P=100-10Q, where Q is the number of rounds of golf played per year.  Assume the club incurs a marginal cost of maintenance of the golf course of MC=$60 for each round of golf played.    

If the club sets M and u to maximize profits, how much profit will it be able to earn from each member?

Answer rating: 100% (QA)

Revenue The revenue for the club is given by the product of the price P and the quantity Q of ro... View the full answer