Questions:Part B

Tom knows that he can efficiently identify the students (by requiring a valid student ID), andheisinterestedinseeingifitwouldbeworthwhileforNYHCtoofferaseparatemenuofpricesfor personal trainingforstudents.

1. Tobetterunderstandthestudentpreferencesregardingpersonaltraining:
   1. Compute the average willingness-to-pay for student members for each timeslot.

1. Plotwillingness-to-payhistogramsforeachofthese timeslots.

1. Doyouthinkitwouldbesufficientlyaccurateforpurposesofstudentdemandestimationandrevenueoptimizationtorestrictattentiontoamodelthatsummarized the student preferences by their average willingness-to-pay foreachtimeslot?Specifically,assumethatyouaregivenavectorofpricesandareaskedtocomputethestudentdemandforpersonaltrainingsessionsatdifferentperiods.Doyouthinkitisreasonabletoassumethatallstudentshavethesamewillingness-to-pay (i.e., the average computed above in 1a) or is the variabilityin their willingness-to-pay an important element in this calculation? Why orwhynot?