The student chapter of the Association of Information technology Professionals (AITP) notices the success that the APICS student chapter has with their traditional barbecue sauce fundraiser. Blinded by their jealousy, the club officers decide to sell a competing product, clocks made out of junk computer parts that the club sponsor whips up in his garage. Club officers set up a card table in the atrium of the business building and take turns staffing it for the duration of the computer clock season, which is four months. Twenty-five years of experience have revealed that demand varies depending on the month of the season. Customer demand in the first month can be described as 20-p1, in the second month as 20-1.4p2, in the third month 20-1.8p3, and in the fourth month 20-2.2p4.

1. If the student chapter decides to charge a fixed price over the entire season, what should it be? What is the resulting revenue?

2.If the student chapter decides to charge dynamic prices that vary by month, what should they be? How does this affect profits relative to charging full prices?