Question

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 crew 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 combined market of parcels and packages.

Price	Parcels and Packages	TR	MR	TC	MC	MR-MC	Profit
	50	5,000		1,600			3,400
90		10,800	83	2,300	10	73	8,500
80	190	15,200	63	3,000	10	53
	260	18,200	43	3,700	10	33	14,500
60		19,800	23	4,400	10	13	15,400
50	400	20,000	3	5,100	10	-7
	470	18,800	-17	5,800	10	-27	13,000
30		16,200	-37	6,500	10	-47	9,700
20	610	12,200	-57	7,200	10	-67
10	680	6,800	-77	7,900	10	-87	-1,100

Answer 1