Use the following information for the next two questions. As…
Use the following information for the next two questions. Assume you are a massage therapist that would like to offer a volume discount to your customers. Also, assume all your customers have the same demand schedules. This means we can use a single customer to represent all of your customers. Your massage demand schedule is below. You cannot change the demand schedule by advertising, remodeling, changing locations, etc. Massage Demand Schedule Price Quantity Marginal Cost Total Revenue Marginal Revenue Profit $100 1 $25 $100 $100 $75 $90 2 $25 $180 $80 $130 $80 3 $25 $240 $60 $165 $70 4 $25 $280 $40 $180 $60 5 $25 $300 $20 $175 $50 6 $25 $300 $0 $150 $40 7 $25 $280 -$20 $105 $30 8 $25 $240 -$40 $40 $20 9 $25 $180 -$60 -$45 $10 10 $25 $100 -$80 -$150