Optimal Production Quantity, Microeconomics

Assignment Help:

Wholemark is an Internet order business that sells one popular New Year greeting card once a year. The cost of the paper on which the card is printed is $0.50 per card, and the cost of printing is $0.25 per card. The company receives $2.25 per card sold. Since the cards have the current year printed on them, unsold cards have no salvage value. Their customers are from the four areas: Los Angeles, Santa Monica, Hollywood, and Pasadena. Based on past data, the number of customers from each of the four regions is normally distributed with mean 4,700 and standard deviation 700. (Assume these four are independent.)

What is the optimal production quantity for the card? (Use Excel''s NORMSINV() function to find the correct critical value for the given a-level. Do not round intermediate calculations. Round your answer to the nearest whole number.)

Related Discussions:- Optimal Production Quantity

Magnitude of total surplus, Answer the following questions based on the gra...

Answer the following questions based on the graph that represents J.R.'s demand for ribs per week at Judy's Rib Shack. a.  How high must the price of ribs be for Judy to supply

#question.Question: Answer all parts (a, Consider the following insurance m...

Consider the following insurance market. There are two states of the world, B and G, and two types of consumers, H and L, who have probabilities pH =0.5 and pL =0.25 (high and low

1, Find the market-clearing price and quantity of burritos.

Find the market-clearing price and quantity of burritos.

Benefits of education, Normal 0 false false false EN-IN...

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

#title.micro, what are jobs of the department of justice and the federal tr...

what are jobs of the department of justice and the federal trade commission in business pratices.

Rubenstein''s model in Game theory, What is Rubenstein''s model in Game the...

What is Rubenstein''s model in Game theory? A Rubinstein bargaining model is mainly refers to class of bargaining games which is main feature of alternating offers through an infi

What is ceteris paribus, What is ceteris Paribus?  Ceteris paribus is a...

What is ceteris Paribus?  Ceteris paribus is a Latin phrase, literally translated as "other things the similar," and usually rendered in English as "all other things being equa

Write Your Message!

Captcha
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