X Maestro 5/X E EverFi Educ x Photos of CX GS Luxury Apa × University × welcome
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X Maestro 5/X E EverFi Educ x Photos of CX GS Luxury Apa × University × welcome t × C Assignment x y D Homework × ch9problemx C5 Ashley C | ezto.mheducation.com/hm.tpx TotsPoses, Inc., a profit-maximizing business, is the only photography business in town that specializes in portraits of small children. George, who owns and runs TotsPoses, expects to encounter an average of eight customers per day, each with a reservation price shown in the following table. Reservatien price ($ per phote) 38 34 Step I) If the marginal cost and the average total cost of each photo portrait is $22, how much should George charge if he must charge a single price to all customers? Instructions: if you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers. Reservation price(S/photo) 50 46 42 38 34 30 26 Total revenue ($ day) Marginal Revenue ($photo) Customer Single (profit maximizing) price to be charged is $ At this price, how many portraits will George produce each day?Explanation / Answer
Customer Reservation Price Total Revenue marginal Revenue Demand MC Profit A 50 50 50 1 22 28 B 46 92 42 2 22 48 C 42 126 34 3 22 60 D 38 152 26 4 22 64 E 34 170 18 5 22 60 F 30 180 10 6 22 48 G 26 182 2 7 22 28 H 22 176 -6 8 22 0 Profit maximizing price is P=38.(Profit maximizing is where MR is greater than or equal to MC.) No.of portraits produced = 4
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