3 Restaurant Pricing. Consider a restaurant that charges $20 for all you can eat and has 20 customers at this price. Theslope of the domand curve is - $0.10 per meal, and the marginal cost of providing a meal is $6.$26$74Hint: The y-intercept equals the charge plus the (absolute value of the slape x the number of customers), and thex-intercept equals the y-intercept divided by the slope.$22-$20$10$16-$14-$12-$101.) Uso the Sine drawing fool to dravw and label the demand line.2.) Jse the line drawing tool to draw and label the marginal revenue line.3.) Use the line drawing tool to draw the marginal cost line.Carefully folow the instructions above, and only draw the required objects.The profit-maximizing quantity is meals. (Enter your response rounded to the nearest unit.)The profit-maximizing prico is $. (Entor your rusponso rounded to the noarost dollar.)$220 40 60 n0 100 120 140 160 160 200 220Quantity of meals

Answered: Image /qna-images/answer/784f76f6-9a9a-4a30-8432-183bdf73d282.jpg

Restaurant Pricing. Consider a restaurant that charges S20 for all you can eat and has 20 customers at this price. The slope of the demand curve is - $0.10 per meal, and the marginal cost of providing a meal is $6. Hint: The y-intercapt equals the charge plus the (abanlute value of the slope x the number of customera), and the x-intercept equals the y-intercept divided by the alope. 1.) Usu the line drawing fool to draw and label the domand ine. 2.) Use the line drawing tool to draw and label the marginal revenue line. 3.) Use the line drawing tool to draw the marginal cost line. Carefully follow the instruetions above, and only draw the required objects. The profit-maximizing quantity ismeals. (Entur your response rounded to the nearest unit.) The profit-maximizing pricu is $ (Enter your rusponse rounded to the nuarust dollar.)

Restaurant Pricing. Consider a restaurant that charges S20 for all you can eat and has 20 customers at this price. The slope of the demand curve is - $0.10 per meal, and the marginal cost of providing a meal is $6. Hint: The y-intercapt equals the charge plus the (abanlute value of the slope x the number of customera), and the x-intercept equals the y-intercept divided by the alope. 1.) Usu the line drawing fool to draw and label the domand ine. 2.) Use the line drawing tool to draw and label the marginal revenue line. 3.) Use the line drawing tool to draw the marginal cost line. Carefully follow the instruetions above, and only draw the required objects. The profit-maximizing quantity ismeals. (Entur your response rounded to the nearest unit.) The profit-maximizing pricu is $ (Enter your rusponse rounded to the nuarust dollar.)

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter18: Asymmetric Information

Section: Chapter Questions

Problem 18.3P

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