Firm optimal price-output and the resulting profits

Assignment Help Business Economics

Reference no: EM131104236

Based on the following graph (which summarizes the demand, marginal revenue, and relevant costs for your product), determine your firm’s optimal price, output, and the resulting profits for each of the following scenarios:

a. You charge the same unit price to all consumers. Price: $ Output: units Profits: $

b. You engage in first-degree price discrimination. Price and output: Charge the maximum price on the demand curve starting at $100 down to $20 for each infinitesimal unit up to 8 units. Charge the maximum price on the demand curve starting at $100 down to $60 for each infinitesimal unit up to 4 units. Charge the maximum price on the demand curve starting at $100 down to $80 for each infinitesimal unit up to 2 units. Charge the maximum price on the demand curve starting at $100 down to $40 for each infinitesimal unit up to 6 units. Profits: $

c. You engage in two-part pricing. Fixed fee: $ Per-unit fee: $ Output: units Profits: $

d. You engage in block pricing. Package size: units Package price: $ Profits: $

Reference no: EM131104236

Questions Cloud

Prepare a two to three page paper discussing your views : An introduction into the roles of those who practice medicine. This assignment will begin part one of three component projects that will be due during the last week of the course. Prepare a two to three page paper discussing your views on whether ..

Monthly demand the optimal order quantity : Consider a basic economic order quantity (EOQ) model with the following characteristics: Item cost: $15 Item selling price: $20 Monthly demand: 500 units (constant) Annual holding cost: 9% of purchase cost Cost per order: $18 Order lead time: 5 days ..

Optimal package size-units optimal package price : The American Baker’s Association reports that annual sales of bakery goods last year rose 15 percent, driven by a 50 percent increase in the demand for bran muffins. Most of the increase was attributed to a report that diets rich in bran help prevent..

Demonstrate process for engaging in evidence-based practice : The purpose of this assignment is for you to assess meaningful data for effective evaluation of child life services, and to demonstrate the process for engaging in evidence-based practice.

Firm optimal price-output and the resulting profits : Based on the following graph (which summarizes the demand, marginal revenue, and relevant costs for your product), determine your firm’s optimal price, output, and the resulting profits for each of the following scenarios: You charge the same unit pr..

Pelican company made a december : Pelican Company made a December 31 adjusting entry to debit Salaries Expense and credit Salaries Payable for $3,600. On January 2, Pelican paid the weekly payroll of $6,000. Prepare Pelican's

Important computer hardware developments : What are several important computer hardware developments that you expect to happen in the next ten years. How will these affect the business use of computers? please provide references and explanation.

Marching shop was ordering weekly demand for bolts : Marching shop was ordering weekly demand for bolts and nuts 240 units. Ordering cost $50 per unit per year, Bolt and Nuts unit cost $15 and annual carrying charge is 20% No. of Assume 52 weeks per year and lead time is 1 week find reorder number of u..

Stock market has set record for high values in recent months : The US stock market has set records for high values in recent months. This means the overall wealth of the populace has increased. What effect does this have on the following?

User Account

All Pages