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Suppose two types of consumers buy phones and accessories.Consumers of type A are willing to pay $750 for a phone and $60 for accessories.Consumers of
Suppose two types of consumers buy phones and accessories.Consumers of type A are willing to pay $750 for a phone and $60 for accessories.Consumers of type B are willing to pay $700 for a phone and $80 for accessories.The firm selling the phones and accessories faces no competition and has a marginal cost of zero. How much should the firm charge for a bundle that includes a phone and accessories?
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