Calculate the atm fee should the bank charge - marginal cost, Cost Accounting

A bank in a medium-sized midwestern city, Firm X, currently charges $1 per transaction at its ATMs. 

To determine whether to raise price, the bank managers experimented with a number of higher prices (in 25-cent increments) at selected ATMs.  The marginal cost of an ATM transaction is $0.50.

2476_Calculate the ATM Fee Should the Bank Charge - Marginal Cost.png

What ATM fee should the bank charge?

 

 

Posted Date: 3/13/2013 7:21:33 AM | Location : United States







Related Discussions:- Calculate the atm fee should the bank charge - marginal cost, Assignment Help, Ask Question on Calculate the atm fee should the bank charge - marginal cost, Get Answer, Expert's Help, Calculate the atm fee should the bank charge - marginal cost Discussions

Write discussion on Calculate the atm fee should the bank charge - marginal cost
Your posts are moderated
Related Questions
Integrated Ledger System An integrated account ledger system, which has a number of features that may be viewed as preferable to the interlocking ledger system. In present dec

A organization is evaluating a proposed 4-year project.  The depreciable cost will have the following: $300,000 for the equipment, $20,000 for shipping, and $30,000 for installatio

how to calculate variable cost

How do I figure the estimated activity and estimated allocation base?

Direct Material Price Variances The two direct material price variances can be summarized given as: From our basic data first before the beginning of the discussion on

DEF Municipality uses a standard absorption costing system to control the cost of one of its services, namely the supply of water to its constituents. The fixed budget for the reti

Find a journal article online about just-in-time inventory systems. In the subject line of your post, include the title of the article that you read. Post a link to that article wi

Alameda Service center just purchased an automobile hoist for $ 14000. The hoist has a 6 year lifeand an estimated salvage value of $1481. Installation costs were $3020, and freigh


Time Analysis - Cost Accumulation This is generally achieved via having the employee complete a daily or weekly timesheet or via contain job cards or piecework tickets. As whe