Suppose anocean-front hotel rents rooms. In thewinter, demandis:

P1=501Q1

with marginal revenueof:

MR1=502Q1.

However, in thesummer, demandis:

P2=2601Q2

with marginal revenueof::

MR2=2602Q2.

Furthermore, suppose thehotel's marginal cost of providing rooms is MC=5+1Q, which is increasing in Q due to capacity constraints.

Suppose the hotel engages inpeak-load pricing. During thewinter, theprofit-maximizing price is $

35

35 and theprofit-maxizing quantity is

15

15 rooms.(Enter numeric responses rounded to two decimalplaces.)

During thesummer, theprofit-maximizing price is $

nothing

and theprofit-maximizing quantity is

nothing

.