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Satsume Satsume
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6 years ago
The demand for action figures based on characters from children's movies is extremely high around the time the movie is released.  In this peak period, demand for action figures is 
  = 300,000 - 10,000P  P = 30 - 0.0002 .
The resulting marginal revenue curve is MR(Qpk) = 30 - 0.0004 Qpk.  Some time after the movie release, interest in the action figures wanes.  In this lull period, demand for the action figures becomes
  = 100,000 - 25,000P  P = 4 - 0.00008 .   The resulting lull period marginal revenue curve is MR(QI) = 4 - 0.00016 QI.   Suppose the marginal costs of producing the action figures are constant at $1.50.  What is the optimal pricing strategy in the two different periods?
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Microeconomics

Microeconomics


Edition: 8th
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oracledarrenoracledarren
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6 years ago
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Satsume Author
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6 years ago
This helped my grade so much Perfect
54321abs
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Yesterday
Smart ... Thanks!
dianeflunder
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2 hours ago
Good timing, thanks!
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