Exercise 3 A company sells 200+a units of a product every week where a belongs to the interval [10. 100]. The fixed costs for buildings, machines and employees are $12,000+b a week with b in the interval [1,000; 20.0001, while raw material and other variable costs are $50+c a unit with c in the interval [1; 10]. (a) What is the profit if the selling price is $130 a unit? (b) What is the profit if the selling price is $80 a unit? (c) What is the profit if the selling price is fixed at $80 but sales rise to 450 units a week?
Exercise 3 A company sells 200+a units of a product every week where a belongs to the interval [10. 100]. The fixed costs for buildings, machines and employees are $12,000+b a week with b in the interval [1,000; 20.0001, while raw material and other variable costs are $50+c a unit with c in the interval [1; 10]. (a) What is the profit if the selling price is $130 a unit? (b) What is the profit if the selling price is $80 a unit? (c) What is the profit if the selling price is fixed at $80 but sales rise to 450 units a week?
Chapter10: Short-term Decision Making
Section: Chapter Questions
Problem 14MC: A company produces two products. E and F in batches of 100 units. The production and cost data are:...
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Exercise 3 A company sells 200+a units of a product every week where a belongs to the interval [10. 100]. The fixed costs for buildings, machines and employees are $12,000+b a week with b in the interval [1,000; 20.0001, while raw material and other variable costs are $50+c a unit with c in the interval [1; 10]. (a) What is the profit if the selling price is $130 a unit? (b) What is the profit if the selling price is $80 a unit? (c) What is the profit if the selling price is fixed at $80 but sales rise to 450 units a week?
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