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UESTION 21 1. (Two-Part Tariff #2 Cr) The Kiwi company (supplier) has introduced a new device called jPad. jPad is sold through Good Buy (retailer).

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UESTION 21 1. (Two-Part Tariff \#2 Cr) The Kiwi company (supplier) has introduced a new device called jPad. jPad is sold through Good Buy (retailer). Kiwi produces one jPad at $200 and sells it to Good Buy at $400. Good Buy has estimated that demand for the jPad depends on the retail price (p) according to the demand function: D(p)=20002p. With calculus/Excel used, optimal retailer's prices were calculated. (Independent pricing) The optimal retailer's price is $700. (Coordinated pricing) The optimal retailer's price is $600. In the two-part-tariff, the supplier sets a transfer price of $ A. 200 B. 800 C. 600 D. 700 E. 100 F. 500 G. 300 H. 400

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