The Dallas Opera is considering what prices to charge for a subscription to next seasons performances and they've hired a consultant.The consultant has determined that the audience is composed of two types of customers.The first are "patrons", who are affluent and committed opera lovers.By studying past demand the consultant determines that the patron's demand is described by the equation and marginal revenue equation

Pp= 450 - 0.15Qp,

MRp= 450 -0.30Qp

where Ppis the price a patron must pay for a subscription and Qpare the number of patron subscriptions.

The other group of potential subscribers are "students", who are generally less affluent and less committed to opera.Their demand and marginal revenue is given by

Ps= 300 - 0.15Qs,

MRs= 300 - 0.30Qs

where Psis the price a student must pay for a subscription and Qsare the number of student subscriptions.

Assumethat the opera has an unlimited capacity and so the marginal cost ofselling one more subscription is zero.

1. Suppose that the opera can charge different prices to the two groups. Calculate the optimal price and quantity to charge each group.(Explain your answer).
2. Making reference to the issues that must be resolved if a firm is to be a successful price discriminator, discuss the likelihood that the opera would be able to charge different prices to the two groups.