QUESTION ONEA triple A battery manufacturer determines that at a price of K50 50 units of the triple Abatteries are sold, further analysis showed that at a price of K60, 40 units are sold.The manufacturer also determines that the fixed costs of producing x units of the triple A type ofbatteries is 300 and the variable costs are 20.a. Determinei.The price function in terms p = mxii. The total revenue function "R(x)"iii. The total cost function C(x)Find the profit function "(x)"b. Under what conditions will the firm break-evenc. Determine algebraically at break-even for quantityi.The total revenueThe total cost11.d. On the same graph sketch the R(x) and C(x), indicating clearly the break-even pointse. From "d", giving a reason for your answer, which break-even values are feasible forbusiness sustenance711.0f. Using your result in "e" at what price should the batteries be sold at to break-even as thecase of "d"g. On a separate graph, search the profit function (x)h. From your graph "f how many units maximizes the revenues and minimizes the costsi. From your graph "g", how many units maximizes the profitsj. What is the maximum revenue and profit and minimum costs in the case of g" and "f"k. When revenue is maximized, determinei.The selling price of the triple A batteryThe cost of productionii.1. When profits are maximized, determinei.0_[1] iv.0The selling price of the triple A batteryThe cost of production7099,99-9777 77

Given information For triple-A battery When P=50--- Q=50 When P=60----Q=40 Fixed cost=300 Variable…

A triple A battery manufacturer determines that at a price of K50 50 units of the triple A batteries are sold, further analysis showed that at a price of K60, 40 units are sold. The manufacturer also determines that the fixed costs of producing x units of the triple A type of batteries is 300 and the variable costs are 20. a. Determine i The price function in terms p = mx ii. The total revenue function "R(x)" iii. The total cost function C(x) Find the profit function "(x)" b. Under what conditions will the firm break-even c. Determine algebraically at break-even for quantity i The total revenue The total cost ii. 9 d. On the same graph sketch the R(x) and C(x), indicating clearly the break-even points From "d", giving a reason for your answer, which break-even values are feasible for business sustenance e. 0 [1] iv. 0 77 0 £ Using your result in "e" at what price should the batteries be sold at to break-even as the case of "d" On a separate graph, search the profit function (x) 99 0

A triple A battery manufacturer determines that at a price of K50 50 units of the triple A batteries are sold, further analysis showed that at a price of K60, 40 units are sold. The manufacturer also determines that the fixed costs of producing x units of the triple A type of batteries is 300 and the variable costs are 20. a. Determine i The price function in terms p = mx ii. The total revenue function "R(x)" iii. The total cost function C(x) Find the profit function "(x)" b. Under what conditions will the firm break-even c. Determine algebraically at break-even for quantity i The total revenue The total cost ii. 9 d. On the same graph sketch the R(x) and C(x), indicating clearly the break-even points From "d", giving a reason for your answer, which break-even values are feasible for business sustenance e. 0 [1] iv. 0 77 0 £ Using your result in "e" at what price should the batteries be sold at to break-even as the case of "d" On a separate graph, search the profit function (x) 99 0

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter1: Introduction And Goals Of The Firm

Section: Chapter Questions

Problem 2.2CE

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