Several units of homogeneous product as single package

Assignment Help Business Economics

Reference no: EM13837721

A monopoly is considering selling several units of a homogeneous product as a single package. A typical consumer’s demand for the product is Qd = 80 - 0.25P, and the marginal cost of production is $120.

a. Determine the optimal number of units to put in a package.

Units

b. How much should the firm charge for this package?

Reference no: EM13837721

Questions Cloud

Consumers become more carbohydrate-conscious : Suppose cookie sales fall as consumers become more carbohydrate-conscious. If the cookie industry is a constant-cost, perfectly competitive industry, this decline in market demand will cause market supply to?

Socratic analysis paper on the nature of personal freedoms : Socratic Analysis Paper on the Nature of Personal Freedoms-In this course, we learn about philosophers and philosophies, but we also strive to be philosophical

Two of the largest distillers of premium scotch liquor : Suppose the European Union (EU) is investigating a proposed merger between two of the largest distillers of premium Scotch liquor. Based on some economists definition of the relevant market, the two firms proposing to merge enjoyed a combined market ..

Market-level price elasticity of demand : You are the owner of a local Honda dealership. Unlike other dealerships in the area, you take pride in your No Haggle sales policy. Last year, your dealership earned record profits of $1.5 million. What price should you charge for a midsized automobi..

Several units of homogeneous product as single package : A monopoly is considering selling several units of a homogeneous product as a single package. A typical consumer’s demand for the product is Qd = 80 - 0.25P, and the marginal cost of production is $120. Determine the optimal number of units to put in..

Describe affirmative action program : 1. Describe affirmative action program (AAP). What is its primary objective? 2. What is motivation? Describe some common ways by which organization try to motivate their employees.

Markups and prices under third-degree price discrimination : You are the manager of a monopoly that sells a product to two groups of consumers in different parts of the country. Group 1s elasticity of demand is -4, while group 2s is -3. Your marginal cost of producing the product is $20. Determine your optimal..

Business research for decision making : How I will approach assignment (Unit 5), will be by reviewing my notes that I have taken throughout the course. Using the learning materials and reading materials provided by this course and instructor.

Develop a work breakdown structure : Develop a work breakdown structure (WBS). Analyse the project and produce a 1-page Work Breakdown Structure. Draft an interview agenda for your interview with the CEO, refer to the text and on-line for examples.

User Account

All Pages