# Assume that the demand for a round of golf at a premier club isQ=.pdf

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Assume that the demand for a round of golf at a premier club is: Q=130P, so the marginal revenue is: MR=1302Q, where P is the price per round (the greens fee) and Q is the number of rounds. Part 2 Suppose that all players have this same demand. There is a constant marginal cost of \$30, the golf club is a monopoly, and there are no fixed costs. If the managers maximize profits by setting a single price, the firm's quantity will be ___________. rounds. The price per round the firm sets will be ___________, and the economic profit it earns will be \$_________. Part 3 If the managers maximize profit by using two-part pricing, the firm's quantity will be ___________ rounds.The price per round the firm sets will be ____________, and the economic profit it earns will be ____________..

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### Assume that the demand for a round of golf at a premier club isQ=.pdf

• 1. Assume that the demand for a round of golf at a premier club is: Q=130P, so the marginal revenue is: MR=1302Q, where P is the price per round (the greens fee) and Q is the number of rounds. Part 2 Suppose that all players have this same demand. There is a constant marginal cost of \$30, the golf club is a monopoly, and there are no fixed costs. If the managers maximize profits by setting a single price, the firm's quantity will be ___________. rounds. The price per round the firm sets will be ___________, and the economic profit it earns will be \$_________. Part 3 If the managers maximize profit by using two-part pricing, the firm's quantity will be ___________ rounds.The price per round the firm sets will be ____________, and the economic profit it earns will be ____________.
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