Company is considering raising the price

Assignment Help Business Economics

Reference no: EM13736569

A company currently sells 60,000 units a month at $10 per unit. The marginal cost per unit is $6. The company is considering raising the price by 10% to $11. Your boss tells you that price cannot drop below $9 because you cannot earn enough profit to cover your fixed cost. What should you tell her?

Reference no: EM13736569

Questions Cloud

Public health preparedness : You have just been hired as a new Vice President of Quality and Safety for a full-service 600-bed government healthcare organization. Within your first month on the job, the national security threat level has been raised to Imminent, which means t..

Found in the literature review section : Most threats to ____ are taken care of by the experiments design, while most threats to _____ need to be take care of by the designer of the experiment. which of the following would be found in the literature review section

Risk response matching : From the scenario, examine two (2) types of risk responses using the Kerzner text as a guide. Using your own experiences or conceptualizing a national project, describe when each risk response would be appropriate. Support your response and rati..

Laws and regulations affect different industries : Write a paper of no more than 1,400 words as a learning team, explaining how the laws and regulations affect different industries.

Company is considering raising the price : A company currently sells 60,000 units a month at $10 per unit. The marginal cost per unit is $6. The company is considering raising the price by 10% to $11. Your boss tells you that price cannot drop below $9 because you cannot earn enough profit t..

Which measure of varibility describes the average deviation : Which of one of the following is an disadvantage of multiple choice questions? How can descriptive statistics be defined. Which measure of varibility describes the average deviation of each score from the mean

Which level of measurement conveys the most information : Which level of measurement conveys the most information? Which of the following is NOT an example of reliability? What is one way to obtain a criterion validity measurement?

Current value of real consumption spending : Assume that the multiplier in a country is equal to 4 and that autonomous real consumption spending is $1 trillion. if current real GDP is $12 trillion, the current value of real consumption spending is $ ______ trillion.

Draw it with increasing opportunity costs : Suppose an economy produces three goods - Economy with three goods (rice, bananas, and strawberries), Draw its PPF assuming constant opportunity costs. Then draw it with increasing opportunity costs

User Account

All Pages