User Account

All Pages

Compute the optimal price using the arc formula

Assignment Help Macroeconomics
Reference no: EM1329131

Calculating the optimal price using the arc formula for elasticity.

If the price is $15 the company sells 27 units. If price is $12, the company sells 42 units. The company wants to earn a 20% return on sales. ATC=MC=$10. How do I determine the optimal price using the linear approximation method, cost plus pricing and mark-up pricing. How does the arc formula for elasticity factor in to these equations?

 

Reference no: EM1329131

Questions Cloud

What is a data type in c : What is the difference between a constant and the variable in a program? Why would you use one or the other.
What challenges do you think a non family member employee : What challenges do you think a non family member employee of a family business might face daily and long term?
Finding future value of investments : Suppose you withdraw the interest every year. What will be your total earnings? Why does this differ from the interest earned in (a)?
Explain sweet treats - target market : Explain Sweet Treats - Target Market and where is the location of your business and use one of the common segmentation methods
Compute the optimal price using the arc formula : Compute the optimal price using the arc formula for elasticity. How does the arc formula for elasticity factor in to these equations.
Psychological tests to determine a person-s leadership style : Do you think psychological tests (i.e. Myers-Brigg's, Jungs Typology, etc.) help determine a person's leadership style?
How supply management benefits organizations : Based on your experience or readings, Show how Supply Management benefits organizations in the public and private sectors.
The biggest advantage in your opinion to having a partner : What would be the biggest advantage in your opinion to having a partner in a small business?
Some programming languages a comment can be enclosed : In some programming languages a comment can be enclosed either in braces {} or in the symbols (* *). How do you think a scanner will group the four symbols {, }, (*, *) for purposes of classification i.e. would each symbol be given its own classif..

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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