Reference no: EM131163778
A soccer team’s parent company, Lanternyard Inc., determines the prices for match tickets. Let’s assume that there is only one type of ticket for matches in their stadium and that the relationship between the demand D (as the number of persons) and the price for a match ticket (in TL) is described by p = 80 − 0.001 D+ 100000/D. The company has estimated that it has a fixed cost of 54,000 TL per match and a variable cost of 27 TL per person. The stadium has a maximum capacity of 33,500 people.
a) What is the profitable range of demand for each match?
b) Find the profit-maximizing level of demand for each match. What is the ticket price at this level of demand? What is the total profit?
c) How would your answer to parts (a) and (b) change if the stadium had a maximum capacity of 15,000 people?
d) Using Excel, plot total revenue, total cost and total profit on the same chart. Locate and mark the quantities asked in parts (a), (b), and (c) on this chart.
e) Construction/investment mogul Donald McTrump wants to buy this stadium from Lanternyard. Suppose the stadium hosts about 48 matches per year in their stadium, and that the total profit from each match is as you found in part (b). Lanteryard asking price is the capitalized worth of the stadium using a MARR = 1.6% per month. Calculate this price.
f) Perform an Excel analysis of the PW of the stadium versus its “useful life” (with no salvage value). Using the MARR above, plot the PW of the stadium versus its useful life in months. By trial and error, find the value N of the useful life where the increase in the PW by adding one more month is less than (i) 1000 TL, (ii) one ticket price, or (iii) 1 TL. Express your results in years and months for better interpretation.
|
What national-international variables affect our economy
: Explain what national/international variables affect our economy and what would you do if you were the CEO of a company (you may use your place of employment) in order to increase efficiency, productivity, and maintain your company's competitiveness ..
|
|
Over time with enough volume-we become profitable
: After viewing the clip “Broke“ from The Office, what was Ryan referring to when he said, “Over time with enough volume, we become profitable.” What short run costs was he focused on, and what was he ignoring?
|
|
Ip network on lan
: When a mobile host is not at home, packets sent to the home LAN are intercepted by its home agent on the LAN. For an IP network on an 802.3 LAN, how does the home agent accomplish this interception? Explain your answer.
|
|
Marginal benefits to continue to exceed his marginal cost
: After viewing the video clip from Cool Hand Luke, first consider how marginal benefits and marginal costs fit in to Luke’s decision, and how the concept of diminishing marginal utility is at work as Luke eats more and more eggs. What is driving his m..
|
|
Find the profit-maximizing level of demand for each match
: A soccer team’s parent company, Lanternyard Inc., determines the prices for match tickets. Let’s assume that there is only one type of ticket for matches in their stadium and that the relationship between the demand D and the price for a match ticket..
|
|
Find the de broglie wavelength and frequency of an electron
: Find the de Broglie wavelength and frequency of an electron whose speed is 10% of the speed of light. Using the EM spectrum chart, what kinds of EM waves could this de Broglie wavelength represent? Please show all calculations and explanations!
|