Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Promoters of a major college basketball tournament estimate that the demand for tickets on the part of adults is given by Qad = 5,000 - 10P, and that the demand for tickets on the part of students is given by Qst = 10,000 - 100P. The promoters wish to segment the market and charge adults and students different prices. They estimate that the marginal and average total cost of seating an additional spectator is constant at $10.
a. For each segment (adults and students), find the inverse demand and marginal revenue functions.
b. Equate marginal revenue and marginal cost. Determine the profit-maximizing quantity for each segment.
c. Plug the quantities you found in (b) into the respective inverse demand curves to find the profit-maximizing price for each segment. Who pays more, adults or students?
d. Determine the profit generated by each segment, and add them together to find the promoter's total profit.
e. How would your answers change if the arena where the event was to take place had only 5,000 seats?
How might contractionary and expansionary fiscal policies affect your organization?
Assume the point elasticity method. A 10 percent increase in income brings about a 15 percent decrease in the demand for a good. What is the income elasticity of demand and is the good a normal good or an inferior good
Label the axes, show the units and draw the demand curve as accurately as possible. b. If the wage rate for packers is $7.50 an hour, how many labors will Solander Fiji employ? Explain your answer.
Levi's has an advertising slogan: "Quality never goes out of style." Consumers can buy other kinds of jeans, including off-brands. The manufacturers of off-brand, or generic, jeans do not advertise. Assume that the average total cost of producing ..
If household wealth falls by 4 percent because of declining house values, and the real interest rate falls by 2 percentage points, in what direction and by how much will the aggregate demand curve initially shift at each price level?
The new lender will charge interest of 4.27 percent compounded quarterly. Petra wants to pay off the new loan with three payments. The first payment will be made in fourteen months. Determine the amounts Petra will pay under this arrangement.
Assume that the potato chip industry in the Northwest in 2011 was competitively structured and in long-run competitive equilibrium; firms were earning a normal rate of return. In 2012, two smart lawyers quietly bought up all the firms and began op..
If trade barriers hurt the average worker in an economy (due to lower wages), why does government create trade barriers?
The estimated salvage value was $30,000. At the end of the 5th year the asset was sold for $90,000. From a tax perspective, what is happening at the time of disposal, and what is the dollar amount.
In 2009, workers in the United States paid a social security tax equal to 6.2 percent of all wages earned until a cap of $106,800 was reached. After that, the tax rate was 0 percent. What kind of tax is the social security tax
Write it GAMS notation and run the program to solve the problem. Find the lowest cost way of supplying the textbook to each distribution center.
Why is it not valid to compare the estimated test statistic with the corresponding critical value from a t-distribution, even though the test statistic takes the form of the usual t-ratio?
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd