Atypical customer who buys from a firm has a demand given by p = 90 - 3 q. the firm has a constant marginal cost mc = $18 and no fixed cost. it currently uses a uniform pricing strategy (i. e., it charges a single price for all the units it sells), but it is contemplating to switch to the following block pricing strategy: "buy the first 5 units at a price of $75 per unit, and any subsequent unit at a price of $54 per unit." compared with uniform pricing, profits per customer under the above block pricing are

(a) the same as in uniform pricing
(b) $450 greater under block pricing
(c) $105 greater under block pricing
(d) lower than under uniform pricing

What is the difference between secure bonds and naked bonds?

Adrawback of short-term contracting as an alternative to making a component in-house is thata. it is the most-integrated alternative to performing an activity so the principal company has no control over the agent. b. the supplying firm has no incentive to make any transaction-specific investments to increase performance or quality. c. it fails to allow a long planning period that individual market transactions provide. d. the buying firm cannot demand lower prices due to the lack of a competitive bidding process.

Asmall town wants to build some new recreational facilities. the proposed facilities include a swimming pool, recreation center, basketball court and baseball field. the town council wants to provide the facilities which will be used by the most people, but they face budget and land limitations. the town has $400,000 and 14 acres of land. the pool requires locker facilities which would be in the recreation center, so if the swimming pool is built the recreation center must also be built. also, the council has only enough flat land to build the basketball court or the baseball field. the daily usage and cost of the facilities (in $1,000) are shown below. which facilities should they build? facilityusagecost ($1,000)landswimming pool4001002recreation center5002003basketball court3001504baseball field2001005