The graph below shows the demand for haircuts at the Uppercuts Hairdressing Salon. Price per haircut...
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The graph below shows the demand for haircuts at the Uppercuts Hairdressing Salon. Price per haircut 30 27 24 21 18 15 12 9 6 3 D Tools X Captured con 0 a) If the salon charges a single price of $15, what will its total daily revenue be? Total daily revenue: $ b. b) Suppose, instead, that the salon practises price discrimination and now charges $20 for haircuts to regulars but only $15 to retirees and economics Instructors. What will its new total daily revenue be? New total daily revenue: $ c) What is the value of consumer surplus that the salon has captured as a result of price discriminating? Consumer surplus: $ d. In the above graph, show the area that represents the value of consumer surplus captured. Plot only the 4 endpoints of the area The graph below shows the demand for haircuts at the Uppercuts Hairdressing Salon. Price per haircut 30 27 24 21 18 15 12 9 6 3 D Tools X Captured con 0 a) If the salon charges a single price of $15, what will its total daily revenue be? Total daily revenue: $ b. b) Suppose, instead, that the salon practises price discrimination and now charges $20 for haircuts to regulars but only $15 to retirees and economics Instructors. What will its new total daily revenue be? New total daily revenue: $ c) What is the value of consumer surplus that the salon has captured as a result of price discriminating? Consumer surplus: $ d. In the above graph, show the area that represents the value of consumer surplus captured. Plot only the 4 endpoints of the area
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Related Book For
Calculus Early Transcendentals
ISBN: 9781337613927
9th Edition
Authors: James Stewart, Daniel K. Clegg, Saleem Watson, Lothar Redlin
Posted Date:
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