Question 03 Evaluate the range of profitable demand for a new project by EWALL Pvt. Ltd. The variable cost (c,) per unit item of particular electronic component is $850, the intercept on price (a) is 4500 and negative slope (b) is 80 and the fixed costs (CF) sums up to $8,500 per month.
Q: (1) A company in Scotland bottles sparkling water. The fixed cost per month to produce bottled water…
A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…
Q: The processing time for each activity is given as follows: Processing time per customer 2 seconds 30…
A: *Answer: Processing time of bottleneck activity = 60 seconds Capacity per hour = (1*Number of…
Q: total profit is
A: Total Variable Cost = Average Variable Cost * Output Variable cost = $3 * 1000 = $3000 Total Fixed…
Q: Develop the nonlinear profit function for the tire company and determine the optimal price, the…
A: We first find the Total Profit function = Total Revenue - Total Cost Total Revenue = Volume x Price…
Q: The revenue and cost functions for a particular product are given below. The cost and revenue are…
A: According to the given information:
Q: Suppose ADJ Corporation's break-even sales volume is $450,000 with fixedcosts of $200.000.(a)…
A: The given information: Fixed cost is $200,000 Sales volume of a company is $450,000
Q: A company that manufactures bicycles has a fixed cost of $100,000. It costs $100 to produce each…
A: The cost function is a summation of the fixed and the variable cost involved in producing one unit…
Q: A manufacturer of certain household goods caters primarily to the south Indian market. At present,…
A: Market demand is the sum total of demand in different market of a particular product. In simple…
Q: A division of Chapman Corporation manufactures a pager. The weekly fixed cost for the division is…
A: The goal of every firm is to maximize its profits. Profits are the excess of revenue receipts over…
Q: If the break-even volume is the quantity for which the overall cost will be considered as…
A: According to, the breakeven quantity is the number of additional units sold to pay the cost of a…
Q: Micromedia offers computer training seminars on a variety of topics. In the seminars each student…
A: Projected fee = $600 per student Cost = $9,600 Micromedia rent computers cost =$120 per computer…
Q: The vertical distance between ATC and AVC measures: a. marginal cost. b. total fixed cost. c.…
A: Total cost of a firm includes Total variable cost and total fixed cost. In the short run fixed cost…
Q: Problem One: The fixed cost for a company is 1200 OMR and the variable cost is 2 OMR per 100 unit.…
A: The money spent to purchase the factor of production to produce the goods and services by firm is…
Q: A manufacture has been selling 1000 television sets a week at $360 each. A market survey indicates…
A: Given information:- Total quantity sold- 1000 television sets per week Per unit price- $360 Rebate…
Q: that the fixed costs are $5780 per week and the cost of producing each set of clubs is $73.00. Each…
A:
Q: A drywall company in Alberta manufactures dry-wall panels for modular construction companies.…
A: The total revenue is maximized where the marginal revenue is zero. The total revenue is…
Q: A company produces an electronic timing switch that is used in consumer and commercial products. The…
A: a)Total cost = Fixed cost + Variable cost = 70,000+80x MC= dTC/dX= 80 TR = p*d=…
Q: Income and Cost can be expressed as below, Ix= x-2x+60 Cx= 2x2+12x+18 Find the maximum income and…
A: Income refers to the total money received from the sale of any good or services. On the other hand,…
Q: For April 2021, the actual cost per ASM (available seat mile) for Southwest Airlines was…
A: For Profit maximization, a firm operates at an output level where Marginal Cost is equal to Marginal…
Q: If total revenue is $64,000 and accounting profit is $12,000 Find explicit cost
A: According to the above mentioned question, we have Total revenue = $64,000 Accounting profit =…
Q: Solve it correctly Q)Transtech sells its product for $100. Marginal cost is a constant $70 per unit…
A: Given, Transtech sells its product for $100. Marginal cost = $70 per unit Fixed costs =70,500
Q: The Rainwater Brewery produces beer. The annual fixed cost is $150,000, and the variable cost per…
A: The term “profit” is defined as the excess of total revenue over the total cost. Total cost (TC)…
Q: If the marginal cost is MC = 30'- +10, the fixed costs are 1, then the total cost TC= (A) Q'-e+100+5…
A: Given MC = Fixed costs = 1
Q: A pharmaceutical company manufactures two brands of vaccines. The annual demand and cost functions…
A: Given, A pharmaceutical company manufactures two brands of Vaccines A and B The Price of Vaccine A…
Q: a) Estimate from the graph i) the break-even points e) How would your answers for break-even points…
A: (a) The breakeven point is a situation where revenue earned by the firm is exactly equal to its cost…
Q: A privately owned summer camp for youngsters has the following data for a 15- :weeksession Charge…
A: Given: Charge per camper=$130 per week Fixed Costs=$42,000 per session Variable cost per camper=$70…
Q: Evaluate the range of profitable demand for a new project by, EWALL Pvt. Ltd. The variable cost (c,)…
A: General cost function: TC =TVC+FC; where TC is the Total cost, TVC is the total varable cost and FC…
Q: Average cost with the $300 tax is minimized at a quantity of q = units. (Enter your response rounded…
A: *Answer:
Q: Many times, the selling price of a product, p, is related to the demand, D, according to the…
A: Total revenue is the multiplication of price and quantity demanded. Total revenue is maximized at a…
Q: Disc Buddy, Inc. produces flash drives. The selling price is $8 per drive. The variable cost of…
A:
Q: Oscar has owned a Ford automobile dealership for over 25 years. Since he has been heavily involved…
A: Solution : Profit maximizing prices : For Sunroof : $1800 [Customer A and B will buy] Profit =…
Q: If fixed cost is 10, variable cost per unit is 2 and the price function is P = -Q +9 then the value…
A: Given, Fixed cost = 10 Price function: P = -Q + 9 Variable cost = 2
Q: machine is being considered for the production of a part , the material cost is 15% per part and the…
A: here we calculate the profit generated by machinery , so here we calculate the profit by using the…
Q: of $8 per unit. Sales history indicates that the sales price in dollars, P, varies with the demand,…
A: here we determine the optimum demand and the maximum profit by following method given below;
Q: The demand values for the following 4 weeks for a company is as follows: 300, 200, 400, 430. The…
A: Given The demand values for the following 4 weeks for a company is as follows: 300, 200, 400,430.…
Q: TransTech sells its product for $100. Marginal cost is a constant $80 per unit and fixed costs are…
A: Break-Even Quantity = Fixed Cost / (Sales Price - Variable Cost)
Q: Cal Tech Inc. manufactures video games for "The Play Station III". Variable costs are estimated to…
A: GIVEN Q = 1,000 - 4P 4P = 1,000 - Q P = 250 - 0.25Q
Q: A company produces and sells a product and fixed costs of the company are 8500000 Baisa and variable…
A: The total cost function is the simple aggregate of the total fixed cost and the total variable cost…
Q: A company has inventory of $200,000 in a warehouse that is completely destroyed by fire. There is no…
A: Gross profit= 25% on cost is 20% on sales= $600000*20%= $120000Cost of goods sold= Sales-Gross…
Q: Ace Shoe Company sells heel replacement kits for men's shoes. It has fixed costs of $6 million and…
A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…
Q: The profit,P,of a company that manufactures and sells N units of a certain product is modeled by the…
A: Given: Function: P(N)=R(N)-C(N) Cost: C(N)= Co +Cop(N) S=$50 Co=$75,000, Cop(N)=$50✓N, N= 100…
Q: a= 1, b= 9, c=1, d=8, e=8 8. A Factory manufactures three types of Cars. The fixed and variable…
A: Solution a) The payoff table is the table that represents and analyses a situation where there is a…
Q: The Rainwater Brewery produces beer. The annual fixed cost is $150,000, and the variable cost per…
A: General profit function is given below.
Q: When there are economies of scope between products, selling off an unorofitable subsidiary could…
A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…
Q: You have developed a self-study certification system for those who need credit hours for…
A: Total revenue in economics is understood as the sum of total receipts which a seller obtains after…
Q: The X division of XYZ Company is currently operating at 60% capacity or 6,000 units. It produces a…
A: Cost refers to the expenditure level incurred by the firm on its various operations. The cost can be…
Q: Problem One: The fixed cost for a company is 1200 OMR and the variable cost is 2 OMR per 100 unit.…
A: Total cost = Fixed cost + Variable cost
Q: Derive how to find the number of units that should be produced annually to maximize profit. b) What…
A: "Since you have asked multiple parts, we will answer only first three parts for you. If you have any…
solve it but do not use by excel
Step by step
Solved in 3 steps
- A small company manufactures a certain product. Variable costs are $20 per unit and fixed costs are $10,875. The price demand relationship for this product is P = -0.25D + 250, where P is the unit sales price of the product and D is the annual demand. Total cost = fixed cost + Variable cost, TC = CF + CV Revenue = Demand x Price, TR = D x P Profit = Total Revenue – Total Cost, P = TR – TC a) Develop the equations for the total cost and total revenue. b) Find the breakeven quantity c) How many units must be sold to maximize profit? d) What is the company’s maximum profit?A company produces and sells luxury goods and is able to control the demand for the product by varying the selling price. The relationship between price and demand is found to be: p=10-(42/D^2)+2Dwhere p is the price per unit in million dollars and D is the demand per year. The company is seeking to maximize its profit. The fixed cost is $59 million per year and the variable cost is $25 million per unit. The production capacity is 42 units per year, and the company produces at least 1 unit per month. 1) What is the company’s range of profitable output per year?A company produces and sells luxury goods and is able to control the demand for the product by varying the selling price. The relationship between price and demand is found to be: p=10-(42/D^2)+2Dwhere p is the price per unit in million dollars and D is the demand per year. The company is seeking to maximize its profit. The fixed cost is $59 million per year and the variable cost is $25 million per unit. The production capacity is 42 units per year, and the company produces at least 1 unit per month.a) Derive how to find the number of units that should be produced annually to maximize profit.b) What is the maximum profit per year?c) What is the annual breakeven point?d)What is the company’s range of profitable output per year?
- Given that the relationship between the sales price for one of a company’s products and the quantity sold per month is D = 500 – 5p units where D is the demand or quantity sold per month and p is the unit price in dollars. The fixed cost is $1,000 per month, and the variable cost is $20 per unit produced. (a) Determine the optimal number of units that should be produced and sold per month. (b) What is the maximum profit per month related to the product? (c) What is the company’s range of profitable demand? Support your answers graphically.A company has established that the relationship between the sales price for one of its products and the quantity sold per month is approximately p = 78 – 0.11D units. The fixed cost is $800 per month and the variable cost $34 per unit produced. What number of units, D*,should be produced per month and sold to maximize the profit per month related to the product?1. XYZ company’s marketing department recommends to manufacture and market a newe co-friendly and sustainable product. The financial department provides the following cost Php 6,000 is the estimated fixed costs and the estimated variable cost is Php 100 per unit. The revenue function is given with an equation of 150x - 0.005x2. Determine the following: a) the optimal demand and value (Php) b)The demand in unit and amount (Php) that will give highest revenue c) Break even points and range of profitability
- Disc Buddy, Inc. produces flash drives. The selling price is $8 per drive. The variable cost of production is $2.40 per unit and the fixed cost per month is $3,600. Calculate the contribution margin associated with each flash In August, the company sold 200 more flash drives than What is the expected effect on profit of selling the additional drives?A company has determine the price and the monthly demand of its products are related by the equation D= √400-p where p is the price per unit in dollar and D is the monthly demand. The associated fixed costs are $1,125 per month and the variable costs are $100/unit. Use this information to answer the following: What is the optimal number of units that should be produced and sold each month? Determine the value of D that represents the break-even point?Wiebe Trucking, Inc., is planning a new warehouse to serve the western United States. Denver, Santa Fe, and Salt Lake City are under consideration. For each location, annual fixed costs (rent, equipment, and insurance) and average variable costs per shipment (labor, transportation, and utilities) are listed in the following table. Sales projections range from 550,000 to 600,000 shipments per year. Location Annual FixedCosts Variable Costsper Shipment Denver Santa Fe Salt Lake City $5,000,000 $4,200,000 $3,500,000 $4.65 $6.25 $7.25 a. Plot the total cost curves for all the locations on a single graph. b. Which city provides the lowest overall costs?
- A company has established that the relationship between the sales price for one of its products and the quantity sold per month is approximately p = 79 – 0.11D units. The fixed cost is $800 per month and the variable cost $33 per unit produced. What number of units, D*,should be produced per month and sold to maximize the profit per month related to the product? Round your answer to 2 decimal places.Estimate the cost of expanding a planned new clinic by 25,000 ft2. The appropriate capacity exponent is 0.62, and the budget estimate for 185,000 ft2 was $17 million.A company has determined that the price and the monthly demand of one of its products are related by the equation D = √(400 − p), where p is the price per unit in dollars and D is the monthly demand. The associated fixed costs are $1,125/month, and the variable costs are $100/unit. Use this information to answer, Which of the following values of D represents the breakeven point? (a) 10 units (b) 15 units (c) 20 units (d) 25 units.