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Suppose two theaters, A and B, are willing to pay the following maximum rental fees for Gladiator (G) and Rocky and Bullwinkle (R) to the
Suppose two theaters, A and B, are willing to pay the following maximum rental fees forGladiator(G) andRocky and Bullwinkle(R) to the movie producer.
Theater | G | R |
A | 200 | 140 |
B | 120 | 100 |
Would it be profitable for the movie producer to bundle the two films together? Explain your reasoning.
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