Determine the revenue maximizing price and quantity

Assignment Help Business Economics
Reference no: EM13861654

Use the information in each scenario alone to answer each question.

What is the marginal revenue of a firm that sells a product at the price of $15 and the price elasticity of demand for the product is -2?

What is the price elasticity of demand of a firm that sells a product for $20 and marginal revenue is $12?

Use the following demand function to determine the revenue maximizing price and quantity, Q=2500-5.5P.

Reference no: EM13861654

Questions Cloud

Pressure to shorten the duration of the project : Rob Smith is managing a small project at Boston University. He is under pressure to shorten the duration of the project by 4 days and he wants to do so at the lowest cost possible.
How many big macs day can the owner expect to sell : A specific McDonald’s franchise owner is looking at elasticities of Big Macs. E(p)= 2 (Price), E(i)=1 (Income), E(mt)=1.5 (m=Big Mac, t= Taco). The franchise owner would like to increase the price of Big Macs by 6%. If the franchise owner currently s..
Analyzed the provisions of the sarbanes-oxley act : Analyzed the provisions of the Sarbanes-Oxley Act
Contract to supply motors for all refrigerators : Forbelt Corporation has a 1-year contract to supply motors for all refrigerators produced by the Ice Age Corporation. Ice Age manufactures the refrigerators at the four locations around the country: Boston, Dallas, Los Angeles, and St. Paul. Plans ca..
Determine the revenue maximizing price and quantity : What is the marginal revenue of a firm that sells a product at the price of $15 and the price elasticity of demand for the product is -2? What is the price elasticity of demand of a firm that sells a product for $20 and marginal revenue is $12? Use t..
Significant role in your moral thinking and decision making : What factors play the most significant role in your moral thinking and decision making? Have your strategies for making moral decisions changed over the years? What factors were influential in causing such changes or in causing your strategies ..
Develop a marketing plan of selected organization or product : Select any organizationor product(s) of your choice and carry out the following tasks. Develop a marketing plan of the selected organization or product(s).
Identify the overlapping interests of the city manager : Discussion Questions Identify the overlapping interests of the city manager and the Local 42 of the International Association of Fire Fighters. Identify their competing interests. Identify the interests of the community (or society). State the import..
What is the marginal product : The Green City Hospital treated 100 patients in May with 20 nursing hour inputs, and it treated 120 patients in June with 22 nursing hour inputs. What is the total product for each month? What is the marginal product?

Reviews

Write a Review

 

Business Economics Questions & Answers

  Write down the total and marginal revenue functions

Write down the total and marginal revenue functions (d.) Suppose there is a 4 % increase in advertisement. What will be the effect on demand?

  Illustrate what is the total price of program to consumers

The cost of running the government program ( assuming no storage costs). Illustrate what is the total price of the program to consumers.

  International partnership for the marketing and distribution

Barney's Liquids and Aunt Bee's Lemonade plan to expand their international partnership for the marketing and distribution of ready-to-drink tea products by adding 11 countries to their current markets. If the agreement is reached, operations are exp..

  Estimate the following statement

Estimate the following statement;"Managers should specialize by acquiring only the tools needed to operate in a particular market structure.

  Present and future values for different interest rates

Present and future values for different interest rates. Find the following values. Compounding/discounting occurs annually. Round your answers to the nearest cent. An initial $700 compounded for 10 years at 9%. Define present value. How are present v..

  What are the profit maximizing access fee and price

The firm’s constant marginal cost of production is, c = 50. The firm may charge an access fee and per unit price (that the consumers can choose not to pay). What are the profit maximizing access fee and price?

  Current and capital accounts in the us balance

1. Note that the current and capital accounts in the U.S. Balance of payments (BOP) are mostly private transactions while the official settlements balance involves transactions between governments

  Factors that monetary strategy makers

Compare your answers to part d of problem 2 with those of part a of this problem also elucidate why they are different

  To let the decision stand-consistent judgments

This means “to let the decision stand” and is used by courts to make consistent judgments.

  About this change in quantity demanded

The price elasticity of demand for Stork ice cream is -4. Suppose you're told that following a price increase, quantity demanded fell by 10 percent. What was the percentage change that brought about this change in quantity demanded?

  Declining balance method with switch over to straight line

A laboratory centrifuge costs $80,660 and has a $5530 salvage value with an 8-year recovery period. The estimated annual operating cost is $7000 per year. Use the double declining balance method with switch over to straight line to determinate the bo..

  Marginal physical product of labor

Calculate the marginal physical product of labor at each quantity of labor

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd