Question 1. You manage Live Nation Ei-irerrainmanr, the rm that holds the monopoly of ticket sales for concerts. You determine that the total demand for concerts in the US is reasonably described by two segments, Seniors {3- 70 years of age} and the rest of the population {General Public]. There are 100 identical locations, and, in each location, demand is as follows: General Public .eak (Mon-Fri] 1,400 10P 1,200 "-'0P Peak ("Sat-Sun 3.400 10P 1.000 20F P denotes the price in 33 of the ticket. The marginal cost of an additional person in the audience is zero, but your 100 identical venues only have a capacity of 1,400 each. [a] Can you charge a different price to different segments? If yes, how? [5 marks] [:b') Find the prot maximizing prices for Seniors and for the general public both for peak and off-peak concerts. [10 marks] [c] Live Nation EJ-iterrainmem' has a contract with Puma, a rm that cleans the venues at the end of the concerts. Initially, Live Nation Entertain-smear paid Prtiito a fee of $3 per person for their services. How does your answer to [:b) change? [5 points] [:d'} Upon renewal of the contract, the owner of Prelim argues it is increasingly more expensive to clean venues with larger audiences. You agree to pay Putin) 4Q3- for cleaning. where Q is the total number of people in a given audience. 'What are the new prot maximising prices for Seniors and for the general public for off-peak concerts?[10 marks]