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OPTION w/o FAST PASS Consumer surplus: 1 st ride Benefit = $90. 15th ride: Benefit = $6 = $96 - 6 (15). AVERAGE BENEFIT: ($90
OPTION w/o FAST PASS Consumer surplus: 1 st ride Benefit = $90. 15th ride: Benefit = $6 = $96 - 6 (15). AVERAGE BENEFIT: ($90 $6)/2 = $48 TOTAL BENEFIT: $48 x 15 = $720 Total Surplus: $720 - $65 = $655. Problem #3. FAST PASS at an amusement park. You plan to spend 3 hours at an amusement park. The average time spent on a queue & ride is 20 minutes; if you have a FAST PASS, you skip some of the queue and time spent is 12 minutes. The FAST PASS costs $65. o w/o the pass: go on 3 x 3 hours = 9 rides o w/ the pass: go on 180/12 = 15 rides. Your willingness to pay for rides: P = 96 - 6Q. Based on a willingness to pay analysis, the better option is ______. This option provides ______ dollars in net additional surplus. OPTION w/ FAST PASSConsumer surplus: 1 st ride Surplus = $90. 9 th ride: Surplus = 96 - 6(9) = $42. AVERAGE SURPLUS: ($90 $42)/2 = $66 Total Consumer Surplus: $66 x 9 = $594. solve the question below the same way as example shown above. You have 2 hours
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