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The peace barber shop employs 4-barbers. One barber, who also serves as the manager, is paid a salary of $1,800 every month. The other barbers are paid 1,300 every month. In addition, each barber is paid a commission of $4 per haircut. Other monthly costs are: store rent $800 plus 60 cents per haircut, depreciation on equipment $500, barber supplies 40 cents per haircut, utlilities $300, and advertising $ 200. the price of a haircut is $11.
Instructions(1) how can I determine the variable cost per haircut and the total monthly fixed cost(2) how do I compute the break even point in units and dollars(3) How do I determine the net income, assuming 1500 are given in a month?
Assume that the demand for a gas station is given as PD = 2.06 - .00025QD. The marginal cost is $1.31 per gallon. At his current $1.69 price,
Suppose ZCorp has following short run production function Q = 50X - 2X^2 where X is the only variable input used by ZCorp to product its product, Q.
Ms. Smith, owner and manager of the Clear Duplicating Service located near a major university, is contemplating keeping her shop open after 4 pm.
Draw the firm's average and marginal cost curves on the following diagram and the information in the following table relates to a firm's average and marginal costs of operating each of three plants (X, Y and Z). Each plant has a U-shaped average c..
Mid-Atlantic Cinema, runs a chain of movie theaters in east central states and has enjoyed great success with a Tuesday Night at the Movies promotion.
Assume that Saudi Arabia lets other members of OPEC sell all the oil they wish at the existing price which udis set and other members accept.
In most restaurants, waiters receive a big portion of their compensation through tips from customers. Generally, the size of the tip is decided by the customer. However, many restaurants require a 15 percent tip for parties of eight or more.
Dell Computer Corporation, the world's biggest personal computer maker, is keenly aware of everything its rival PC manufacturers decide to do.
You are given the following information on long run cost function, Compute the long run average cost and marginal cost.
Market demand and marginal revenue relations for Glove Box units are: P=$500,000-$250Q;MR=$500,000-$500Q;
What is the profit maximizing number of Gizmo Widgets that should be introduced? Be sure to account for the fact that Gizmo Widgets displace other kinds of widgets. Again, be sure you provide a brief explanation of your approach/reasoning.
Suppose your employer sends you on a reconnaissance mission to Roswell, New Mexico. Your CEO wants to relocate company's customer service operation to Roswell,
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