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Business x sells goods. It has fixed costs of 150 Million dollars. The incremental cost kan be estimated to 150,000 dollars. The profit maximizing price is 427,000 dollars. The quantity demanded is then 1246.5 units. You estimate that for every 1000 dollar increase in the price the quantity demanded goes down by 4.5 units.
A. What price should Business x put on the good If the incremental cost goes up by 10,000 dollars?
B. What price should Business X put on the good IF fixed costs goes up by 10 million dollars?
Borges Machine Shop, Inc., has a 1-year contract for the production of 200,000 gear housings for a new off-road vehicle. Owner Luis Borges hopes the contract will be extended and the volume increased next year. Which process is best for this contra..
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Dan has been directed to study the forces close to a company that affect its ability to serve its customers, such as the company, suppliers, marketing intermediaries, customer markets, competitors, and publics. In this instance, Dan has been directed..
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