a Suppose Pepper is a student and thus has a student card, and the other two customers do not. In this case the firm it is possible for the firm to offer separate prices for students and non-students. Find the profit maximising prices.

b Now consider the case in which Sam and Pepper are both students, but Wanda does not. In this case the firm could also offer separate prices for students and non-students. Find the profit maximising prices.

c Provide an explanation for the difference in profit you found in part a and part b?

4. Consider the following data for the marginal benefit [MB] of three consumers for a particular good. Wanda 5am Pepper MB Sales MB Sales ME. Sales (5- per [units a [5 per (units a . [moviESI unit] month] unit] month] [$fmowe] month] 36.00 1 30.00 1 24.00 1 2?.00 2 21.00 2 15.00 2 18.00 3 12-00 3 5.00 3 o s o s o 5 Suppose that the firm which supplies this good has a fixed cost of $10 and marginal cost of $1.5, so that total cost is TC = 10 + 1.50, where C! represents output