Maximizing profits

The local space museum has hired you to assist them in setting admission prices. The museum’s managers recognize that there are two distinct demand curves for admission. One demand curve applies to people ages 12 to 64, whereas the other is for children and senior citizens. The two demand curves are: PA = 9.6 – 0.08QA PCS = 4 – 0.05QCS, Where PA is the adult price, PCS is the child/senior citizen price, QA is the adult quantity, and QCS is the child/senior citizen quantity. Crowding is not a problem at the museum, so managers consider marginal cost to be zero. a. What price should they charge to each group to maximize profits? b. How many adults will visit the museum? How man... click for more

Normal and nonnormal cash flows?

What are normal and non-normal cash flows?

Economics of Information

Life insurance companies require applicants to submit to a physical examination as proof of insurability prior to issuing standard life insurance policies. In contrast, credit card companies offer their customers a type of insurance called “credit life insurance” which pays off the credit card balance if the cardholder dies. Would you expect insurance premiums to be higher (per dollar of death benefits) on standard life or credit life policies? Explain.

Marginal utlility problem

This is another problem that I am stuck on. This is an example that is similar to what I've been asked to do, NOT the actual question. Consumer has a choice of goods, x and y. X is $2 and Y is $3. How much of x and y will the UT maximizing consumer purchase with an income of $17? UNITS MUx MUy 1 10 5 2 8 4 3 2 3 4 2 2 5 1 2