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Gary's Golf Club faces the following demand for games of golf per week from golfers: Quantity per day Price (WTP) ($) 1 20 2 16
Gary's Golf Club faces the following demand for games of golf per week from golfers: Quantity per day Price (WTP) ($) 1 20 2 16 3 12 4 8 5 4 6 0 The marginal cost of supplying a round of golf is $4, and the fixed cost is zero. Gary decides to use a two-part pricing scheme for customers at the golf club. Two-part pricing involves charging a fixed per week membership fee to play golf, and an extra price per round played. The profit-maximising combination of price per round, and fixed fee per week, would be: Group of answer choices $4 and $60 $4 and $40 $8 and $24 $8 and $40 There is no two-part price at which Gary can make a positive profit
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