+1-415-670-9189
info@expertsmind.com
Calculate the optimal price
Course:- Microeconomics
Reference No.:- EM13700173





Assignment Help >> Microeconomics

As a manager of a firm you find the marginal cost of the firm to be $10 and the fixed cost $100. For the range of prices that you are planning to charge, own price elasticity of demand is believed to be –1.25. Calculate the optimal (profit maximizing) price that you should charge. Show all calculations.




Put your comment
 
Minimize


Ask Question & Get Answers from Experts
Browse some more (Microeconomics) Materials
Assume that Bob is only purchasing two products G and W. The market price of G is $25 and of W is $20. By spending all of his budgeted amount on these two items, he is maximiz
What is the opportunity cost of increasing the annual output of corn from 800 to 1000 pounds and what is the opportunity cost of increasing the annual output of corn from 200
Explain the factors that will affect demand, supply, and prices of that product. Examine factors that will affect Total Revenue, including but not limited to: Price elasticity
Your civil engineering consulting firm is going to purchase a new computer-aided design (CAD) system at a cost of $100,000. The CAD system will have no salvage value at the
An auditor wishes to determine a rule to use in evaluating the accounts payable of a certain firm. There are 5000 such accounts. The auditor considers the accounts as satisfac
The federal Insurance Contributions Act  tax is a payroll tax that finances Social Security and MEdicare. By law, employees each contribute 7.65 percent of the workers wages t
Suppose you were in charge of designing the border security policies for airports, seaports, and roadways in the United States. How would you go about finding the optimal le
Using the Tripp and Finzel texts, construct a biblical model for decision making. This paper must incorporate specific lessons learned from Dangerous Calling: Confronting the