Find the break-even point

Assignment Help Econometrics
Reference no: EM131175910

A small bottling company finds that it costs $6,000 to prepare 10,000 sixpacks of cola, and $8,000 to prepare 15,000 six-packs. If each six-pack sells for $1.20, find and plot the graphs of the total cost function and the revenue function. Plot the profit function. Find the break-even point.

Reference no: EM131175910

Questions Cloud

What is the company mission statement : Write a 350- to 700-word paper in which you address the following: What is the company's mission statement? What is the company's vision statement? What role do these have on the way the business operates?
Why is it important to honor the customs : Why is it important to honor the customs and traditions of a country when working on an international project?
Explain what are the three types of unemployment : What are the three types of unemployment? Unemployment is seen by some as undesirable. Are all three types of unemployment undesirable? Could the advent of the Internet completely eliminate frictional unemployment?
What is culture shock : What is culture shock? - What can you do to reduce the negative effects of culture shock?
Find the break-even point : A small bottling company finds that it costs $6,000 to prepare 10,000 sixpacks of cola, and $8,000 to prepare 15,000 six-packs. If each six-pack sells for $1.20, find and plot the graphs of the total cost function and the revenue function. Plot th..
Discuss the importance of the market for loanable funds : Discuss the importance of the market for loanable funds and the market for foreign-currency exchange to the achievement of the strategic plan.
What was their experience with culture shock : What was their experience with culture shock? -  What did they learn about the culture of the country they lived in?
Discuss the underlying assumptions and implications : Discuss the underlying assumptions and implications. If referring to a research article, present the methodology, where relevant, and discuss any practical issues or reasons to question the author's perspective.
Find the overhead and the marginal cost of a figurine : A manufacturer of small glass figurines discovers that it costs $1,800 for a production run of 1000 and $2200 for a production run of 1500. Assuming that cost is a linear function of number of items, find the overhead and the marginal cost of a fi..

Reviews

Write a Review

Econometrics Questions & Answers

  Determine the present worth of the two contracts

At the end of that time a mild recesion slowed the development so the parties signed another contract for $190,000 per year for 2 more years. Determine the present worth of the two contracts at an interest rate of 10% per year.

  Why beach and alex chose cycling in the first stage

Alex and Barbara will simultaneously choose to go to the beach or to go cycling without talking to one another. Alex prefers beach and Barbara prefers cycling, but they prefer to be with one another.

  Compute the price elasticity of supply for copper

Use the midpoint formula to compute the price elasticity of supply for copper. (Related to Application 4 on page 529.)

  What role does reputation have in maintaining incentives

What is required if firms are to have an incentive to maintain their reputations? How might the good reputation of existing firms serve as a barrier to the entry of new firms?

  What is the marginal product of the eight worker

A California asparagus farmer is maximizing profit. The price of asparagus is $2 a box, a farm worker's wage rate is $12 an hour, and the asparagus farm employs six workers. If, when the price of asparagus increases to $3 a box,the farm hires eigh..

  What are the pros and cons of such an approach

What are the pros and cons of such an approach? Would it work in a financial crisis? (Related to Application 2 on page 356.)

  The construction of a dam will cost 1000 at time 0 500 in

the construction of a dam will cost 1000 at time 0 500 in year 1 500 in year 2. it will be completed at the end of year

  Does the high-cost firm have an incentive to set a low price

The incumbent does know its unit cost. Market demand is common knowledge to both firms. The entrant, however, does get to observe the current or pre-entry market price at which the incumbent sells its good.

  What interest rate would be needed on pound securities

What interest rate would be needed on pound securities, such as government bonds, for you to be willing to buy those securities with your dollars today and then sell them in a year in exchange for dollars?

  What is the producer surplus in a perfectly equilibrium

Suppose that ranchers can buy up to a collective total of 200 cows and run them on the open range. The value of each cow after it has grazed is given by V= $2000-10C, where C is the total number of cows on the range.

  Determine what is the value of the stock today

Simpkins Corporation is expanding rapidly, and it does not pay and dividends because it currently needs to retain all of its earnings. However, investors expect Simpkins to begin paying dividends, with the first dividend of $1.00 coming 3 years.

  Create a graph showing the price that levi''s changes

Levi's has an advertising slogan: "Quality never goes out of style." Consumers can buy other kinds of jeans, including off-brands. The manufacturers of off-brand, or generic, jeans do not advertise. Assume that the average total cost of producing ..

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!

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