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Suzie's Silk Scarves is a start up that sells high quality scarves out of a boutique store. The monthly rent of store is $1,500 and Suzie has one manager who runs the store and receives $3,000 each month. She leases out a computer and other equipment for her store at a total monthly cost of $600, and spends another $400 each month on advertising in local newspapers and publications. Suzie pays on average $15 to import each scarf from Asia, and invests another $3 per scarf on a fancy packaging box for each scarf. She sells each scarf for $43. How many scarves must Suzie sell each month in order to break even?
Linear programming is a mathematical technique used to determine the optimal solutions to certain specific problems.
Market Structure and Pricing Decision Applied Problems, BUS 640 Managerial Economic,
Assume the external marginal cost of pollution is MCext=5Q and internal marginal cost is MCint=10Q. Further, suppose the inverse demand for the product, Q, is given by P = 90-Q.
A twenty year expansion project has a depreciable capital outlay of $50 million. It also has additional net working capital needs of $5 million.
Would the reward system vary among retailers, manufacturers, distributors, financial organizations? What other characteristics should good performance incentives have?
The short run marginal cost of the Ohio Bag corporation is 2Q. Price is $100. The corporation operates in a competitive industry.
Assume the economy is currently at potential output and the inflation rate is 8%. Assume the federal funds rate is currently 3%
Suppose ZCorp has following short run production function Q = 50X - 2X^2 where X is the only variable input used by ZCorp to product its product, Q.
Suppose a company employs 10 workers and pays each $15 per hour. Further assume that the MP of the 10th worker is five unit of output and that the price of output is $4.
MGMT 3306: Solve the assignment problems, 1. Please answer the assignment questions in this docx file and save once you’re satisfied. Assignment 3covers the lectures slides for Week 6.
The Zinger Corporation manufactures and sells a line of sewing machines. Demand per period for a particular model is given by the following relationship:
Economists estimated the following cost function for X Company, Compute the ATC, AVC and MTC and plot on another graph.
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