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Seven years ago, you started a crosstown delivery service. The service is an environmentally friendly business and, given all the traffic congestion, you are also the fastest service in the city since your entire crews are bicyclists. You have two types of service. You have a small parcel service for anything that is flat and measures less than 11x17. You have a package service using a 100 lb. capacity bike trailer for anything weighing up to 10 lbs. As a way to introduce the new package service when you implemented the small package service, you charged the same price for packages as parcels. You are now wondering if you should charge different prices for the parcel and package service.
Complete the table below for the packages market.
Price
Packages
TR
MR
TC
MC
MR-MC
Profit
100
50
5,000
450
4,550
70
6,300
65
650
10
55
5,650
80
7,200
45
850
35
6,350
110
7,700
25
1,050
15
130
7,800
5
1,250
-5
6,550
7,500
-15
1,450
-25
6,050
40
170
6,800
-35
1,650
-45
190
5,700
-55
1,850
-65
3,850
20
4,200
-75
2,050
-85
230
2,300
-95
2,250
-105
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