It costs the company $1,200 to run a flight, empty or full, from its base airport to Airport X. Additionally, each passenger generates costs of $40. The regular ticket sells for $90. The plane holds 65 people, but is averaging only about 35 per flight. The sales director has proposed selling special tickets for $50 to persons who have not flown on TTA before. If the sales director's plan is implemented and 15 additional tickets are sold without affecting the regular business, the total profit on this flight would be most nearly: . 1. -$400
2. $1,000
3. -5700
4. $500
5. $700

answer; blank(1); /// whitelisting; blank(2); // blacklisting;

answer; swot analysis;

answer: in the short-run firms will respond by raising the price of turkey.

explanation: initially the long-run equilibrium is at a price of $5 per pound of turkey and a quantity of 50 million pounds per year. now, when webmd claims that a protein found in turkey will increase your expected lifespan by 4 years. the consumers demand for turkey will increase at every price shifting the demand curve to the right from d1 to d2. while, there will be no change in the supply curve in the short-run as it is not possible for producers to adjust supply so quickly. as a result the new equilibrium will occur at a higher price and a higher quantity of turkey.

thus, in the short run firms will respond by increasing the price of turkey, selling more quantity at a higher price and earning economic profits.

riley- $3

sean- $4

jake- $8

riley has the absolute advantage.