Compute circuit city revenue if it were to produce

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Reference no: EM1346924

Assume Microsoft chooses to produce 80 million copies of the software per year and sells copies of the software to retailers at $199 per copy.

Now consider the problem of a retailer like Circuit City or Best Buy. Such retailers can sell as many copies of Vista they like at the prevailing market price of $200.

Compute Circuit City's revenue if it were to produce 0, 2, 4, 6, 8, 10, 12, 14, or 16 million copies per year. In the graph below, plot its total revenue in each case.

Reference no: EM1346924

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