End of Appendix Problem A university's students have demand for credit hours given by q = 30 -0.04p, where p is the price per credit hour. a. If the university charges only one price for credit hours, irrespective of the number of credit hours a student enrolls for, what is the price per credit hour that would maximize revenue for the university?

End of Appendix Problem A university's students have demand for credit hours given by q = 30 -0.04p, where p is the price per credit hour. a. If the university charges only one price for credit hours, irrespective of the number of credit hours a student enrolls for, what is the price per credit hour that would maximize revenue for the university?

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter14: Monopoly

Section: Chapter Questions

Problem 10PA

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A university’s students have demand for credit hours given by q = 30 – 0.04p, where p is the price per credit hour. a) If the university charges only one price for credit hours irrespective of the number of credit hours a student enrolls for, identify the price per credit hour that would maximize revenue for the university. b) If the university adopts a two-tier pricing structure, identify the structure that would maximize revenue for the university. Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
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