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A monopoly is considering selling several units of a homogeneous product as a single package. A typical consumer’s demand for the product is Qd = 100 - 0.5P, and the marginal cost of production is $80.
a. Determine the optimal number of units to put in a package.
b. How much should the firm charge for this package?
At December 31, 2013 and 2012, G Co. had 66,000 shares of common stock and 6,500 shares of 8%, $100 par value cumulative preferred stock outstanding. No dividends were declared on either the preferred or common stock in 2013 or 2012. Net income for 2..
A university schedules summer school courses based on enrollment. The cost for faculty compensation, laboratories, student services, and allocated overhead for a computer class is $8500. If students pay $420 to enroll in the course, how large would e..
The production possibilities frontier model shows that
Pick any public company and discuss which 2 or 3 macroeconomic indicators which would most profoundly affect that business and why.
The aggregate demand curve is. Consumption is primarily determined by. When the saving function is below the disposable income line. The negative relationship between the aggregate price level and aggregate output demanded gives the aggregate demand ..
A firm uses labor and capital (L, K), to produce an output. The hourly cost of labor is $10 and the hourly cost of capital is $50. Which combinations of labor and capital hours of use represent points on the firm's $100,000 Isocost line? Please show ..
Suppose that Hannah’s utility function is UH = 4C + 3T and that Jose’s utility function is UJ = 3C + 4T, where C is pounds of coffee per year and T is pounds of tea per year. Suppose there are fixed amounts of 28 pounds of coffee per year and 21 poun..
Describe the difference between the short run and long run in the example to bringing about more tables for the customers. How is the restaurant able to differentiate between the short run and long run?
What would be ultimate impact on the equilibrium price also quantity in the market for oak tables if the price of maple tables.
First assume that each lawyer will pay his own bill. Describe their decision making process as a normal form game (describe the payoff matrix). Identify the Nash equilibrium or equilibria. Do you think that the Nash equilibrium or equilibria is a rea..
If American cheese also cheddar cheese are substitute afterward which of the following would increase the demand for cheddar cheese.
Consider an individual whose utility function is U = X0.5Y0.5. If the individual consumes 1 unit of X and 4 units of Y, then she will experience some level of utility. If the individual instead consumes 2 units of Y, how much of good X must she consu..
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