Cheri receives a telephone call from a telemarketing company offering to sell her four CDs of classic rock music for just $39.95 plus tax and shipping of $6.05. Cheri agrees to purchase the music, and her credit card is immediately charged for the transaction. A week later the CDs arrived, and Cheri signed for delivery. Three months later, however, Cheri has never opened the package or inspected the merchandise. After finally opening the package, she sees that one of the CDs is damaged and calls to convince the company to recredit her credit card for the damaged merchandise. What rights does Cheri have under this oral contract? What rights or duties does the music company have?

Suppose there are three types of consumers who attend concerts at your university’s performing arts center: students, staff, and faculty. each of these groups has a different willingness to pay for tickets; within each group, willingness to pay is identical. there is a fixed cost of $1,000 to put on a concert, but there are essentially no variable costs. for each concert: i. there are 140 students willing to pay $20. (ii) there are 200 staff members willing to pay $35. (iii) there are 100 faculty members willing to pay $50. a) if the performing arts center can charge only one price, what price should it charge? what are profits at this price? b) if the performing arts center can price discriminate and charge two prices, one for students and another for faculty/staff, what are its profits? c) if the performing arts center can perfectly price discriminate and charge students, staff, and faculty three separate prices, what are its profits?