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a)On its route to Tasmania, Jetstar has just one category of tickets and just one set price. If demand is Q = 600 - P,
a)On its route to Tasmania, Jetstar has just one category of tickets and just one set price. If demand is Q = 600 - P, and the marginal cost of an additional passenger is $120 in fuel, what is the optimal price?
b) How does your answer change if the plane on that route has a capacity of 300 seats?
c) How does your answer change if the plane on that route has a capacity of 200 seats?
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