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On Jetstar flights, passengers have to pay extra for food and drinks Assume the only product that Jetstar sells on the plane is packets of potato chips

On Jetstar flights, passengers have to pay extra for food and drinks. Assume the only product that Jetstar sells on the plane is packets of potato chips. Each packet costs Jetstar $4.00 (hint: the marginal cost is constant at $4.00 per packet). Currently Jetstar charges $4.50 for a packet of chips Price ($/packet) 6.50 6.00 Quantity (packets) 30 42 5.50 5.00 4.50 4.00 56 72 92 105 Answer the following questions a. What is Jetstar's marginal revenue when the price is $4.50 per packet? Answer to the nearest two decimal places. $ per packet b. At a price of $4.50, should Jetstar decrease or increase the packets of chips sold to maximise profit? Type D for Decrease or l for Increase c. What price should Jetstar charge to maximise profits? Answer to the nearest two decimal places. $ per packet.

Apr 21 2020 View more View Less

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