Reference no: EM131066202
Assignment 1:
The tables below show the cumulative demand for 12 ounce cans of Coca-Cola as provided by students in a previous class.
|
Original
|
|
Income Doubles
|
|
Pepsi is $.20 cheaper than Coke
|
|
Price
|
950
|
200
|
Avg.
|
|
Price
|
950
|
200
|
Avg.
|
|
Price
|
950
|
200
|
Avg.
|
|
$1.50
|
54
|
26
|
40
|
|
$1.50
|
87
|
40
|
64
|
|
$1.50
|
44
|
20
|
32
|
|
$1.25
|
63
|
30
|
47
|
|
$1.25
|
100
|
46
|
73
|
|
$1.25
|
55
|
27
|
41
|
|
$1.00
|
83
|
36
|
60
|
|
$1.00
|
125
|
56
|
91
|
|
$1.00
|
67
|
35
|
51
|
|
$0.75
|
115
|
53
|
84
|
|
$0.75
|
175
|
82
|
129
|
|
$0.75
|
92
|
48
|
70
|
|
$0.50
|
160
|
75
|
118
|
|
$0.50
|
241
|
106
|
174
|
|
$0.50
|
140
|
70
|
105
|
1. Using the "Avg." column in the first table calculate self-price elasticity assuming the price of Coke increases from $1.00 to $1.25 per can (use the mid-point formula).
2. Using the first table and the second table (the "Avg. columns) calculate the income elasticity for Coke assuming income doubles and the price is $1.00 per can (again, use the mid-point formula). No matter what level of income you have, if you double it the percent change in income (when using the mid-point formula) will always be 66.7%. So, 66.7% will be your denominator.
3. Using the first table and the third table (the "Avg. columns) calculate the cross-price elasticity of demand for Coke assuming that table one shows the demand for Coke when the price of Coke is $1.00 per can and the price of Pepsi is $1.00 per can, and that table three shows the demand for Coke when the price of Coke is $1.00 per can and the price of Pepsi is $.80 per can (again, use the mid-point formula).
Assignment 2:
The purpose of this assignment is to give you a better understanding of consumer and producer surplus. To keep it simple, keep in mind the formula for finding the area of a triangle which is: Area equals one-half of the height of the triangle multiplied by the base of the triangle, or A=.5(h x b)
A local restaurant sells the best hotwings in town. A single consumer's demand for the hotwings is shown in the table and graph below
|
Price
|
Quantity
|
|
$14
|
0
|
|
$12
|
1
|
|
$10
|
2
|
|
$8
|
3
|
|
$6
|
4
|
|
$4
|
5
|
|
$2
|
6
|
|
$0
|
7
|
a) If the equilibrium price of a serving of hotwings is $6.00, how much consumer surplus does the consumer receive? (figure out the area of triangle A)
b) Explain how you calculated it.
c) What is the producer surplus? (figure out the area of triangle B).
|
Addressing a quantitative analysis
: Using what you have researched and studied throughout Modules 1 - 7, write a report addressing a quantitative analysis (QA) project. Here, you are asked to select a business of interest and develop QA best practices that can be developed and imple..
|
|
What would be the difference in cost of living
: What would be the difference in cost of living between the two locations 24,000 of taxable purchases based only on the differences in sales tax, income tax, and property tax?
|
|
Shareholders through business excellence and innovation
: As per the full year and the fourth quarter of 2014 report issued 19 February 2015: Annual revenue now tops AED 10 billion.
|
|
Review and reflection
: Review and reflect on what you learned in the past 8 weeks. What is the most practical and easily applied lesson you learned?
|
|
Calculate the income elasticity for coke
: Using the first table and the second table (the "Avg. columns) calculate the income elasticity for Coke assuming income doubles and the price is $1.00 per can (again, use the mid-point formula).
|
|
Find out the optimum mix using graphical method
: All the firm's output can be sold and the profit made is Rs 80 per ton of X and Rs 120 per ton of Y. Find out the optimum mix using graphical method.
|
|
Automobiles-toyota vs bmw in japan
: What was the strategy used by the foreign firm in the host market? You also have to asses the relative clout of both firms (which firm has made strong competitive moves or better defended against). Finally suggest recommendations for how the domes..
|
|
Analyse the importance of financial planning in business
: Analyse the importance of financial planning in business and explain the financial and legal aspects of financial planning activities in business
|
|
Duties of directors under australia corporation law
: LAW202 - Corporations Law. You are required to write a research essay addressing all of following points: Who are directors of company? What are their duties of directors under Australia Corporation Law? Give a short history of the evolution of direc..
|