How much advertise cost

Assignment Help Econometrics
Reference no: EM13187987

A monopolist has two types of customers.There are 100 of type A, who will each pay up to $10 for a single unit of the good, and 50 of type B, who will each pay up to $8 Neither is willing to purchase additional units at any price. If it must charge a uniform price, find that price. a Assume that spending $80 on advertising will attract 100 more type B customers. should the monopolist advertise? if so, what will happen to price?

Reference no: EM13187987

Questions Cloud

What are the potential effects of exposure to nitric acid : What are the potential effects of exposure to nitric acid? Consider all different modes of exposure listed on the MSDS.
Find the absolute maximum and absolute minimum values : Find the absolute maximum and absolute minimum values of the function f(x)= ((x^3)/3)-5x^(2)+24x on the interval[-3,10]
Determine which of the congruences has a solution and why : Determine which of the congruences has a solution and why? (Give explanation).
Explain two common polymorphs of zinc sulfide : There are two common polymorphs of zinc sulfide: cubic and hexagonal. Based on the analysis of Madelung constants alone, predict which polymorph should be more stable.
How much advertise cost : A monopolist has two types of customers.There are 100 of type A, who will each pay up to $10 for a single unit of the good, and 50 of type B, who will each pay up to $8 Neither is willing to purchase additional units at any price. If it must charg..
State potassium chloride and kcl and sodium sulfate : Potassium chloride, KCl, sodium sulfate, Na2SO4, glucose, C6H12O6, carbon dioxide, CO2, and ammonium phosphate, (NH4)3PO4, are soluble in water
State and explain 5pieces of information of living standard : A. Ireland is a very small open economy. Trace the likely economic consequences if the government used an expansionary fiscal policy to stimulate the economy. B. GNP at Current Market Prices for 2007 was 60% higher than the figure for 2000. State a..
The development of self-gender identity, parenting styles : As you read, you need to "dialogue" with the text by identifying main ideas and supporting details, making connections, marking confusing areas, identifying unfamiliar words, and examining graphics.
Developing the network design : The Fiction CEO has informed you that the capital budget cannot exceed $500,000 and must not interrupt business operations. What follows is a brief overview that will serve as your foundation in developing the network design.

Reviews

Write a Review

Econometrics Questions & Answers

  Which discount rate makes the best case for mining

Mining is proposed for a wilderness area that provides two benefits: recreation (due to backpacking opportunities) and biodiversity (there are endangered wildlife and plants). The mining is expected to reduce backpacking visits from the current 10,..

  Find the marginal utility of bags of potato chips

Suppose there is an increase in supply (rightward shift in supply). Consider two graphs. In Graph [X], demand is relatively inelastic. In Graph [Y], demand is relatively elastic. Which of the following is true?Suppose Bill gets a pay raise of 12%, ..

  Should the government build the bridge

A company is considering building a bridge across a river. The bridge would cost $2 million to build and nothing to maintain. The following table shows the company's anticipated demand over the lifetime of the bridge Price Per Crossing Number of C..

  How to book value schedule using the macrs

A corporation purchased a computer system for use by the firm's engineers. The system cost $500,000. At the end of its depreciable life, the salvage value for the system is $25,000. Compute the depreciation and book value schedule using the MACR..

  What is the size of the sampling error

Consider the following sample of nine wait times measured in seconds at a drive through coffee shop. The population mean and standard deviation are 100 and 20 respectively.  125 95 66 116 99 91 102 51 110 a. What is the size of the sampling error i..

  Determine loan without interest for four years

The market interest rate is 10 percent and is expected to stay at that level. Explain your choice in each of the following situation: a. Would you prefer $500 gift today or $540 gift next year b. Would you prefer a $100 gift now or $500 loan without..

  What is the maximum amount one can withdraw in year one

I want to deposit $10,000 now and $15,000 at the end of five years in a bank that pays 15% interest compounded semiannually. I want to withdraw an amount every year for the first five years and to withdraw $500 more for the following four years.

  What is abc incs average monthly revenue

Abc Inc. sells bike tires for $25. It's sales have averaged 8,000 units per month. Recently its closes competitor Efg Inc. reduced their price for bike tires form $35 to $30. A result Abc's sales declined by 1.500 units per month.A. what is the ar..

  Compute the geometric mean rate of return

The prices of five computer stocks increased by 37.2 percent, 1,140.0 percent, 2.7 percent, 842.0 percent and 0.95 percent, respectively since 1990.

  What would be the deadwieght loss associated

Suppose the demand for Cardinal's World Series tickets is Qd = 48, 061 ? 2.4P (for the purposes of this problem, we will suppose that fans do not care where they sit). The Cardinals play at Busch Stadium, which has a seating capacity of 46,861. Th..

  Calculate the expected return from each technique

Sua suppose a farmer has some money of his own to invest in a better way to cultivate his land. there are two techniques, both of which require an initial start-up capital of $200. The first technique is risk free and generates a return of 20..

  Find for what values of p1/p2 will the optimum

A consumer of two goods faces positive prices for both goods and has positive income. Her preferences over consumption of good 1 and good 2 are represented by the following utility function: u(x1; x2) = min {2x1 + x2; x1 + 2x2}

Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd