Situation $1$

Jonathan Lugar, $17,$ had just finished helping his mom with a garage sale when it occurred to him that he might create a business to do the same for others and make a little money for college. The idea was to offer a service that would take the headache out of running a garage sale. Lugar would handle all advertising and sale setup, and his experience with other garage sales in the area would allow him to coach sellers on pricing so that items would actually be purchased. He figured he could charge $$200$ per job for sales that bring in $$400$ or less, but he and the seller would split sales above $$400$ on a $50-50$ basis. Lugar believes the greatest value added from his services would be from his pricing insights, since most people rarely have a garage sale and thus have little idea about how much to ask for items. Careful pricing would make his customers happy, since they could maximize their sales and minimize the risk that they would be left with the very items they were trying to get rid of$.$ In fact, Lugar plans to keep track of how much things sell for to fine$-$tune his pricing advice. He estimates that his startup costs will be minimal and come mostly from the use of his truck and some fuel.