Question

If Ben values good X more than good Y and Catherine values good Y more than good X a firm can increase its profits by

Answer 1

D. bundling the goods

Step-by-step explanation:

The company in this case is being discreet to the needs of its consumers.

Inorder to kill two birds with one stone; meaning to meet their consumers value for good X and Y they could make more profits by selling them together as a package.

By doing so both Catherine and Ben would purchase same package, reducing the costs of producing separate products for the company.