1 the abner corporation a retail seller of television sets

Assignment Help Managerial Economics

Reference no: EM13374980

1. The Abner Corporation, a retail seller of television sets, wants to determine how many television sets it must sell in order to earn a profit of $10,000 per month. The price of each television set is $300, the average variable cost is $100, and the fixed costs are $5,000 per month.

What is the required sales volume for Abner Corporation to earn a profit of $10,000 per month?

If the corporation were to sell each television set at $350 rather than $300, what would be the required sales volume?

If the price is $350 but the average variable cost decreased to $85 rather than $100, what would be the required sales volume now?

2. The Richardson Manufacturing Company's short-run average cost function is estimated as

AC = 3 + 4 Q,

where AC is the firm's average cost (in dollars per pound of the product) and Q is the output.

Obtain an equation for the firm's short-run total cost function.

Does the firm have any fixed costs? Explain.

If the price of the company's product (per pound) is $3, is the firm making profits or losses? Explain.

Derive an equation for the firm's marginal cost function.

Reference no: EM13374980

Questions Cloud

Conduct a research review of the published literature and : conduct a research review of the published literature and write a concise summary and evaluation of the research that

1 the following is a list of an economys national income : 1. the following is a list of an economys national income account data for a particular year in billions of

Table shows the bushels of corn and the bottles of wine : table shows the bushels of corn and the bottles of wine that japan and korea can produce from one day of labor under

1 in 2010 the box industry was perfectly competitive the : 1. in 2010 the box industry was perfectly competitive. the lowest point on the long-run average cost curve of each of

1 the abner corporation a retail seller of television sets : 1. the abner corporation a retail seller of television sets wants to determine how many television sets it must sell in

1 the owner of the thomas car wash believes that the : 1. the owner of the thomas car wash believes that the relationship between the number of cars washed and labor input

Yi szlig1xi1 szlig2xi2 szlig3xi3 szlig4xi4 eifor the : yi szlig1xi1 szlig2xi2 szlig3xi3 szlig4xi4 eifor the hypothesis h0 szlig21 szlig3 szlig4a propose a test statistic

1 consider an individual facing a wage rate w theres a : 1. consider an individual facing a wage rate w. theres a total of 100 hours available for work or leisure in a

Q1 if the us economy is operating near full employment and : q1. if the us economy is operating near full employment and the exchange rate increases the dollar appreciates explain

User Account

All Pages