A professional rugby team is selling tickets for a two-game weekend series with a key
rival. There are two equal-sized groups of fans. "Saturday" fans get $30 in value from a
ticket to the Saturday game, and only $20 in value from a ticket to the Sunday game.
"Sunday" fans get $35 in value from a ticket to the Sunday game, but only $10 in value
from a ticket to the Saturday game. There is no cost to admitting a spectator, and there
are no capacity constraints.
a. If the team sells tickets to the Saturday and Sunday games separately, what
prices would they charge, and what would be the average profit per fan? Explain
briefly. (2 marks)
b. If the team sells a ticket bundle, with tickets to both games, what price would
they change, and what would be the average profit per fan? Explain briefly.