Reference no: EM131424854
Assume that quantity produced = quantity demanded = quantity sold
Peter Neutron is the manager of a MailMax store which provides services such as copying, scanning, and faxing in a small university town.
Peter must replace an old copy machine and is considering two models from a local electronics firm.
Machine A has an annual lease cost of $5,000 and a cost per copy of $0.02. Machine B has an annual lease cost of $3500 with a cost per copy of $0.025
Customers would be charged $0.10 per copy.
a. Create a profit model for each Machine – use your models to answer the questions below.
b. Find the break-even quantity for each Machine.
c. If Peter expects to make 200,000 copies per year, what would be the cost for each machine?
d. Create a graph that shows the monthly cost for both machines over a quantity range of 0 to 500,000 units.
e. Use your graph to approximately determine at what volume the two machines have the same monthly cost.
|
The labor input required per unit of output
: The following ricardo type table shows the labor input required per unit of output in each of the two industries in each of the two countries. Suppose that Germanz is a much larger country in terms of production and income than the UK. In this situat..
|
|
Balance of global economic power shifting
: What are some underlying factors that are causing decoupling to happen as societies move from a unipolar to a multipolar world? In your opinion, in which direction is the balance of global economic power shifting?
|
|
Aggregate the preferences of three different individuals
: We are trying to aggregate the preferences of three different individuals (Anna, Brian, and Chris) over three alternatives (movies, sports, and clubbing) in a democratic way. When we aggregate, we say that A is preferred to B if the majority prefers ..
|
|
Some level of this unemployment help the economy
: What types of unemployment prevent the unemployment rate from ever having a chance to fall to 0%, and how can some level of this unemployment help the economy?
|
|
Assume that quantity produced-quantity demanded
: Assume that quantity produced = quantity demanded = quantity sold. Peter Neutron is the manager of a MailMax store which provides services such as copying, scanning, and faxing in a small university town. Create a profit model for each Machine – use ..
|
|
Produce physical capital goods and consumption goods
: Suppose an economy can produce physical capital goods and consumption goods. Currently, the economy is employing all of its resources to produce a combination of physical capital goods and consumption goods. Explain what is the economy’s opportunity ..
|
|
Describe the features of monopolistic competition
: Contrast market failure with government failure in the internalizing of externalities. Is it possible for the government to go too far in trying to internalize externalities? Consider external benefits and external costs. Describe the features of mon..
|
|
Effect of this policy change on employee budget constraint
: Graph the effect of this policy change on an employee's budget constraint. Be sure to label the intercepts and any other relevant points on this modified constraint. Let M represent the employee's income.
|
|
Understand about your community
: What do you need to understand about your community before you can begin to work programs or projects? What might you have to do that you feel uncomfortable doing in order to work on this type of program or project? Consider ethics as well as cultura..
|