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Business, 14.04.2020 17:19 edirsonperez3073

Average consumer demand for your product is Q = 12 – ½P. Your marginal cost of production is constant, equal to 12 per unit. As part of a two part pricing strategy you form a buying club. Members of the club may purchase as many units of your product as they wish at a price equal to marginal cost. Setting the club membership fee equal to will maximize profit.

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