You are an industry analyst that specializes in an industry where the market inverse demand is P = 100 - 2Q. The external marginal cost of producing the product is MCExternal = 8Q, and the internal cost is MCInternal = 18Q. Instructions: Enter your responses rounded to the nearest two decimal places. a. What is the socially efficient level of output?  units b. Given these costs and market demand, how much output would a competitive industry produce?  units c. Given these costs and market demand, how much output would a monopolist produce?  units

Q: he first two columns in the following table give a firm's short-run roduction function when the only…

A: Average Product (AP)= Total Product (TP)/ Labour (L). Marginal Product = Change in production…

Q: Suppose the representative firm of the economy has a production function of the form F(K, N) =…

A: given   the economy has a production function of the form F(K, N) =AK^0.5N^ 0.5 . The marginal…

Q: repare and present a computation which illustrates what price should be selected in order to…

A: There are two options for the company:- Option 1: Produce 7000 boxes using company's own capacity at…

Q: The table below shows the long-run total cost of three different firms. Output Firm 1 Firm 2…

A: Economies of scale means where output increases but cost per unit decrease.   To determine economies…

Q: B. What is the optimal product mix? (How many of each should be produced assuming you can sell as…

A:

Q: Assume that a manufacturer can purchase a needed component from a supplier at a cost of $9.50 per…

A: Make or buy decision needs to be made by the management when an item can either be purchased from…

Q: The management of Brinkley Corporation is interested in using simulation to estimate the profit per…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: For each cost function (given in dollars), find the cost, average cost, and marginal cost at a…

A: a) when q=1000…

Q: Consider a market with the following supply and demand.  (It may help to draw a graph for these…

A: Solution-   External cost=$3 Efficient quantity= 500 Because External cost of $3 raises the supply…

Q: Suppose, at a given point in time, Snappy Snack Shack operates in a perfectly competitive market.…

A: MR = MC = Price at profit maximizing level of output in competitive firm. Hence P > ATC means ,…

Q: A firm expects to sell 25,400 units of its product at $14 per unit. Income is predicted to be…

A: A constant cost is something that does not change in response to activities. It must be paid on a…

Q: ing variables and margin of safety regarding Cost Volume Profit Analysis. Based on your discussion…

A: Fixed cost is the cost which is to be incurred irrespective of the level of output. it has to bear…

Q: uct is public good, analy

A: Demand Function- Demand function is what describes a relationship among one variable and its…

Q: The MBF factory has a total cost of 45,000 units if it produces 500 products, and a total cost of…

A: Fixed costs are the costs that a company has to bear regardless of how much revenue it gathers.…

Q: Raju is a price-taker in a competitive product market. The current market price is $80 per unit, and…

A: Target costing: The traditional approach to add all the costs incurred and a desired markup to…

Q: Machine A has fixed costs of P500,000 and a variable cost of P20. Machine B has fixed costs of…

A: Solution: Indifference point in units = Difference in fixed costs / Difference in variable cost per…

Q: Sloan Corporation has the following estimates for its new gear assembly product: Price per unit =…

A: There are many factors which effect the profitability of the company. Every company estimates its…

Q: What is the optimal order quantity?

A: Economic order quantity is the optimal order quantity that a business should order to save ordering…

Q: Suppose that when the output is 0, the total cost is 40. However, when the firm produces the first…

A: Cost of production: It is the cost incurred in producing the goods or providing the services It can…

Q: Currently, the unit selling price is $50, the variable cost, $34, and the total fixed costs,…

A: Break-even analysis is a technique used widely by the production management. It helps to determine…

Q: Consider a market with the following supply and demand.  (It may help to draw a graph for these…

A: Financial Management: Financial management comprises of two words i.e. Finance and management.…

Q: You want to start a firm whose output you believe you can sell for $25 per unit. The operation will…

A: Given information: Fixed costs amounted to $130,000 Selling price per unit is $25 Variable cost per…

Q: Myers Business Systems is evaluating the introduction of a new product. The possible levels of unit…

A: Here,

Q: Q1- You have the following data for the four products (A,B,C,D): PRODUCT VARIABLE FIXED TOTAL COST…

A: After variable expenses are removed from revenues, contribution margin analysis examines the…

Q: Company D is planning to perform an ABC analysis for its products. An information table is given…

A: ABC analysis is an inventory control method which include categorizing of items used in production…

Q: A B C P12 Selling price per unit Variable cost per unit P25 P15 P10 P6 P5 Fixed operating costs…

A: Contribution margin per unit = sales price - variable cost per unit Break-even point = Fixed costs /…

Q: A manager has the option of purchasing 1, 2, or 3 machines. The computed VC is…

A: Solution:- a) Determination of the BEP of each range using the formula as follows under:- Formula…

Q: In linear breakeven analysis, if process A has a variable cost of $45 per unit and process B has a…

A: Breakeven point is the point where the total cost matches the total revenue. There is no situation…

Q: A company wants to price its product by using target ROR method. If the investment is estimated to…

A: Rate of Return pricing is a method by which a company fixes the price of the product in such a way…

Q: For a certain product, the linear demand curve is described by the equation, Quantity = 15,449 - 405…

A: PLEASE LIKE THE ANSWER  Answer: In case of linear demand curve, the equilibrium condition occurs at…

Q: ni is a self-manufactured, he wants to calculate how much the price for their new product if the…

A: The price to be charged to customer depends on the production cost and logistic cost and transport…

Q: Cobb Co. can further process Product X to produce Product Y. Product X is currently selling for $30…

A: Using differential costing we will take decisions for a new proposal  and it will compare additional…

Q: Consider a product market with three consumers A, B and C with demand function PA = 6 – QA, PB = 6 –…

A: Demand Function- Demand function is what describes a relationship among one variable and its…

Q: anufacturing has isolated four alternatives for meeting for increased production capacity. The…

A: Coefficient of variation is risk taken per unit of return earned. Alternative with the lowest…

Q: sing the following data, estimate the new Return on Investment if there is a 6% increase in sales -…

A: Dear student, as per Bartleby's answering guidelines we can not answer more than one independent…

Q: Bryson Company has just developed a new product. The following data is available for this product:…

A: Under Cost plus pricing method :  Target Selling Price per unit =  Total Cost per unit + Desired…

Q: 00 Let the demand function for a product be given by the function D(q) = – 1.55q+ 220, where q is…

A: Demand Function D(q) = -1.55q + 220   Units Produced and sold (q) = 34 units   Revenue per units…

Q: Q1) One of the industrial investors needed an analysis that would lead him to a break-even level…

A:

Q: Based on the following sensitivity report, what would be the impact of changing the objective…

A: Sensitivity analysis: 100% rule  If numerous objective function coefficients are changed, the 100…

Q: On a scattergrap, the diagonal line cuts across two sets of observations, namely: 600:200, and…

A: Solution: Total costs at 200 units = P600 Fixed costs = P400 Variable cost at 200 units = P600 -…

Risk Management Techniques

Risk management is the procedure of recognizing, analyzing, monitoring, and preventing the risks and threatening factors of investments and business. Risks can arise from various factors including internal controls, market changes, natural disasters, and failure in productions. Risk management techniques enable entities to control and minimize the risks as well as the threatening factors of the business and it also helps to improve the business.