Q: Assume you are appointed head of the U.S. Department of Homeland Security in charge of preventing…
A: As per the budegt constraint, an amount of $16000 has to be allocated between the two methods. Each…
Q: Shaughnessy Consulting, LLC currently enjoys a patent on software that estimates economic damages…
A:
Q: A large company in the communication and publishing industry has quantified the relationship between…
A: Cost is the expenditure incurred by firms on the production of goods and services. Revenue is the…
Q: Problem 2 Refer to problem 1.(Problem 1: Auto Mart is a mythical seller of a variety of automobile…
A: Given Holding cost (H) =US$2.50 Order cost (S)= US$50 Annual demand for wiper blades = 16000…
Q: a management consultant has been asked to calculate and analyze market demand for a new video game…
A: Given: Fixed Cost = $750,000 per year Marginal cost = Variable cost = $20/unit Demand function for…
Q: Yaster Breakfast Supplies is planning to manufacture and market a new toaster. After conducting…
A: Marginal Profit (MP) is the expansion in benefits coming about because of the development of one…
Q: A company has determined that the price and the monthly demand of one of its products are related by…
A: In order to produce things for use, output is a method of mixing different raw materials and…
Q: Management of AG Travel and Tour has identified two groups of individuals that would be interested…
A: The firms in the market are considered as important substitutes of the products that are sold in the…
Q: You are an analyst at a chipmaking company that is part of a supply chain that involves chipmaking…
A:
Q: A consulting company estimated market demand and supply in a perfectly competitive industry and…
A: Answer: (A) zero
Q: Various techniques have been proposed to curb cross-border drug smuggling into a country. The costs…
A: We will find the cost-effectiveness ratio for each of the activities. It is given by CER=costscore
Q: A consulting company estimated market demand and supply in a perfectly competitive industry and…
A: find the answer below
Q: A company has determined that the price and the monthly demand of one of its products are related by…
A: Given information: Demand function: D = (400 - P)1/2 Fixed costs = $1,125 Variable costs = $100 To…
Q: You are planning to run a hot dog stand during a forthcoming fair. You originally estimated that you…
A: Sunk cost is the cost that already made and cannot be recovered. In the decision making process,…
Q: Profit maximization can be inferred from MR=MC since: please choose all the answers that are…
A: Profit is maximized at MR = MC because When Marginal Cost < Marginal Revenue, then for each…
Q: Game console manufacturing determines that in order to sell Q units, the price per unit (in dollar)…
A: The term “profit” is defined as the excess of the total revenue over the total cost. Total revenue…
Q: pharmaceuticals company has determined that the demand and total cost curves for a new product line…
A: The profit is maximized where MR=MC.
Q: A producer of ceramic toys is considering the addition of a new plant to absorb the backlog of…
A: Break even point is the point at which the firm makes neither profit nor loss. At the break even…
Q: Tim's Tires sells tires under the firm's own brand name and private label tires to discount stores.…
A: Price discrimination is a pricing strategy through which a firm charges different prices for similar…
Q: The monthly demand is now 20,000 - 5p and the variable (or marginal) cost equals 1,000, while the…
A: Given, Monthly Demand (Q) = 20000 - 5p Variable Cost (VC) =…
Q: JP Co., produces gel pen which sells at P25.00; the variable cost per unit is P15.00 and the fixed…
A: Total cost is the sum of variable cost and the fixed cost.
Q: Tim's Tires sells tires under the firm's own brand name and private label tires to discount stores.…
A:
Q: Micropack producers would like to seek the advice of your Market Research company to advise and give…
A: Given information Demand function X= 35000-50P Ongoing cost=2000 that is fixed expense. Variable…
Q: Zyleron Corp. shows monthly fixed costs of RM 37,210 and a per-unit cost of RM 34.79. It sells 275…
A: Total fixed cost is the cost that remains the same over a period of time. It means as output rises…
Q: Average cost with the $300 tax is minimized at a quantity of q = units. (Enter your response rounded…
A: *Answer:
Q: π (Q) = hQ2 + jQ + k is to be used to reflect the following assumptions: (a) if nothing is…
A: A ‘profit function’ is a ‘mathematical relationship’ between the total profit & output of a…
Q: The cost function is c =q². Therefore, marginal cost equals 2q. Quantity refersto square metre of…
A: Here we have:- demand function=p=20-Q and cost function=TC=q2 Marginal cost=MC=2q since the firm is…
Q: A large company in the communication and publishing industry has quantified the relationship between…
A: Demand function is:- P=150-0.02D TR= Price×Demand…
Q: A zero profit implies that this is a breakeven point, and the amount of demand equals the amount of…
A: At the equilibrium point, the amount of demand equals the amount of supply. i.e., At equilibrium,…
Q: A consulting company estimated market demand and supply in a perfectly competitive industry and…
A: The profit (π) of the firm can be calculated as the difference between total revenue (TR) and total…
Q: A firm produces two goods, A and B. Due to the product A’s fall in popularity near the end of last…
A: Please find the answer below. DEMAND: Demand is the quantity of consumers willing and able to buy…
Q: Power Notebooks, Inc. plans to manufacture a new line of notebook computers. Management is trying to…
A: Given Per unit cost of LCD when it is purchased from an outsider supplier is $100 To produce screen…
Q: Given the following cost function: TC = 1500 + 15Q – 6Q2 + Q3 i. Determine the total fixed cost for…
A: Costs are the expenses that firms incur in the production activities. These are important for the…
Q: Netflix customers in Australia could soon be facing steeper monthly charges. The popular streaming…
A: Price elasticity of demand is the term for the correlation between the percentage change in the…
Q: APL has an overall cost of capital of 11.6 percent and a beta of 1.31. The firm is contemplating a…
A: Bank rate, also known as discount rate in American English, is the rate of interest which a central…
Q: According to Excel's sensitivity report for the previous formulated model (Eagle Tavern), the shadow…
A: Here, Betty Malloy, owner of the Eagle Tavern in Pittsburgh, is preparing for Super Bowl Sunday for…
Q: Tim's Tires sells tires under the firm's own brand name and private label tires to discount stores.…
A: A monopoly is market where there is a single seller and a large number of buyers. The monopolist…
Q: Management of AG Travel and Tour has identified two groups of individuals that would be interested…
A: Since you have posted a question with multiple parts, we will solve only the first part. To get…
Q: Thranduil company's market research department is working on the pricing of a product. The field…
A: The total revenue function for a firm is equal to the product of the price and quantity of the…
Q: The production of store-brand medicine happens in a perfectly competitive market. For store-brand…
A:
Q: Given Problem: A manufacturing plant wishes to buy a new equipment so the purchasing department did…
A: Given that; A company is considering two types of equipment for its manufacturing plant. The…
Q: A large company in the communication and publishing industry has quantified the relationship between…
A: Demand Function: P = 160 - 0.02QdTotal Revenue Function: TR = P.QTR = Q(160 - 0.02Q)TR = 160Q -…
Q: A company produces and sells a consumer product and thus far has been able to control the volume of…
A: The break point is the point at which the organization's revenue equivalent to its expense caused on…
Q: In the wake of the energy crisis in California in 2000 and 2001, many electricity generating…
A: At lowest average cost, facility L produces 6 million kilowatt hours of electricity. In south…
Thranduil company’s
Which of the following prices is the one that maximizes the company's profit?
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Thranduil company's market research department is working on the pricing of a product. The field research shows that average demand is expected to be 8000 units at price 50 TL. From this point, each 1 TL change in price will negatively affect demand with a magnitude of 100 units. Fixed and variable costs are confronted for producing the product. According to the information obtained from the financial department, 200,000 TL is the estimate of fixed costsand 20 TL is the estimate of variable costs per unit produced. Assume that all units produced are sold. Which revenue equation (R(p)) is given correctly? O R(p) = (8000 + 5000)p – 100p? O R(p) (8000 100p) * p O R(p) (50 - p) * 8000 20p OR(p) 100p? – 20p – 200.000 O R(p) 8000p * 50 - 100 20 p likle: >809A)A large company in the communication and publishing industry has quantified the relationship between the price of one of its products and the demand for this product as Price=160−0.02×Demand for an annual printing of this particular product. The fixed costs per year (i.e., per printing)=$47,000 and the variable cost per unit=$40. What is the maximum profit that can be achieved? What is the unit price at this point of optimal demand? Demand is not expected to be more than 4,000 units per year. The maximum profit that can be achieved is $? (Round to the nearest dollar.) The unit price at the point of optimal demand is $? per unit. XYZ company can manufacture their own products and sells them. They are able to control the demand by changing the price that is determined by the equation below. The company is thinking of maximizing their profit. The fixed cost is $1,000 per month and the variable cost is $40 per unit. Find the number of units that must be manufactured and sold monthly to maximize profit. (Demand D in the equation is monthly) Hint: Profit = Total Revenue - Total Cost 2,700 5,000 p = $38 + D for D > 1 D2 1 Add file
- A company produces and sells hair dryers in a market where price (p) and demand (D) are related follows: p= $35 + (3,000)/D –- (4,800)/D? The fixed cost (C;) is $800 per month and the variable cost per hair dryer (c,) is $38. With reference to the company in Question 1, assume price and demand are unrelated. The company sells the hair dryers for $80 each if they spend $8,000 per month on advertising (C.). C; and c, remain as indicated in Question 1. The maximum production capacity is 5,000 hair dryers per month. a) What is the demand breakeven b) Is the company's demand breakeven point (in %) more sensitive to 10% increase in sales price or 20% reduction in variable costs? Explain your answer.A company estimates that the relationship between unit price and demand per month for a new product is approximated by p= $100- $0.10D. The company can produce the product by making the fixed costs $15,972 per month and the estimated variable cost is $ 45 per unit. What is the optimal demand? Express answer in whole number.A small business woman has realized that for one of her products, if the price per unit is GH¢20 she can sell 300 units a day. On the other hand, if the price per unit is reduced to GH¢13, she can sell 440 units a day. From the accounting records, her accountant has estimated the fixed cost of production as GH₵2,000 with a variable cost per unit of GH¢10. (i). Find an expression relating price and output assuming it is linear. (ii). State the total cost function, assuming it is linear. (iii) Advise the business woman on the level of production at which she will breakeven.
- A recent engineering was given the job of determining the best production rate for a new type of casting in a foundry. After experimenting with many combinations of hourly production rates and total production cost per hour, he summarized his findings in table below (column 2). The engineering then talked to the firm’s marketing specialist, who provided estimates of selling price per casting as a function of production output (see table 1 column 3). There are 8,760 hours in a year. What production rate would you recommend to maximize total profits per year? a) 100 ; b) 200 ; c) 300 ; d) 400 ; e) 500 show the computation how to solve it.A recent engineering was given the job of determining the best production rate for a new type of casting in a foundry. After experimenting with many combinations of hourly production rates and total production cost per hour, he summarized his findings in table below (column 2). The engineering then talked to the firm’s marketing specialist, who provided estimates of selling price per casting as a function of production output (see table 1 column 3). There are 8,760 hours in a year. What production rate would you recommend to maximize total profits per year? a) 100 ; b) 200 ; c) 300 ; d) 400 ; e) 500 Show handwritten solutions.FG Manufacturers wants to determine the effectiveness of their pricing decisions for their product Lylo. As a consultant, you have been asked to develop cost functions that will assist in arriving at the optimal price that will enable the company to maximize profits. During the year, you were provided with the following demand and costs functions for the product: P = 400 – 6Q; where P is the unit selling price and Q is quantity in thousands of units. TC = 8Q2 + 36Q + 150; where TC is total cost in thousands of dollars. Determine the optimal sales revenue. Calculate the maximum profit. Briefly outline two (2) factors to be considered by managementswhen pricing decisions are being made.
- A large wood products company is negotiating a contract to sell plywood overseas. The fixed cost that can be allocated to the production of plywood is $800,000 per month. The variable cost per thousand board feet is $155.50. The price charged will be determined by p=$600−(0.05)D per 1,000 board feet. a. For this situation, determine the optimal monthly sales volume for this product and calculate the profit (or loss) at the optimal volume. b. What is the domain of profitable demand during a month?Damai Biru Sdn. Bhd. is a firm selling homogenous product in a competitive market. It has the following cost curves: Price 10 MC ΑΤ AVC P1 P2 P3 P4 1 + +> Quantity Figure Q2 : various cost curves in a competitive market (i) Calculate the amount of profit earned by the firm if the price is P2, which is RM4.5 per unit. (i) Analyse whether the firm should continue its operation or to shut down as the price falls to P4, which is RM2 per unit. (ii) In the long run, firms in competitive market achieve allocative efficiency and productive efficiency in their production. Explain what is meant by allocative efficiency and productive efficiency.A small plant manufactures riding lawn mowers. The plant has fixed costs (leases, insurance, and so on) of $24,000 per day and variable costs (labor, materials, and so on) of $1,200 per unit produced. The mowers are sold for $1,500 each. The cost and revenue equations are shown below where x is the total number of mowers produced and sold each day and the daily costs and revenue are in dollar y=24000 + 1200x Cost equation y= 1500x Revenue equation How many units must be manufactured and sold each day for the company to break even ?