What profit does NS make in each market

Assignment Help Business Economics

Reference no: EM131076567

NonLegal Seafoods (NS) sells its excellent clam chowder in Boston, New York, and Washington. NS has estimated that the demands in these three markets are respectively QB = 10,000 − 1,000PB, QNY = 20,000 − 2,000PNY and QW = 15,000 − 1,500PW, where quantities are pints of clam chowder per day. The marginal cost of making a pint of clam chowder in their Boston facility is $1. In addition, it costs $1 per pint to ship the chowder to New York and $2 per pint to ship to Washington.

a. What are the profit maximizing prices that NS should set in these three markets? How much chowder is sold per day in each market?

b. What profit does NS make in each market?

Reference no: EM131076567

Questions Cloud

Test concerning the difference between population means : To determine whether having relationship with the opposite sex in college is detrimental to one's grade, the following grade point averages of 10 students were.

How will you apply the principles you have learned in course : How will you apply the principles you have learned in this course in your professional career? Give specific examples. Which assignments caused you to confront your own personal values and biases? What did you learn from the experience?

Using the factors that influence price elasticity of demand : Using the factors that influence the price elasticity of demand, do you think a college education is an elastic or inelastic good? State the factors and then support your answer Often times when a college campus has overcrowded parking, they raise th..

How has price discrimination affected total surplus : Now suppose that the monopolist in problem #3 can separate the two groups and charge separate, profit-maximizing prices to each group. What will these prices be? What is consumer surplus? What are total profits? If total surplus is consumer surplus p..

What profit does NS make in each market : NonLegal Seafoods (NS) sells its excellent clam chowder in Boston, New York, and Washington. NS has estimated that the demands in these three markets are respectively QB = 10,000 − 1,000PB, QNY = 20,000 − 2,000PNY and QW = 15,000 − 1,500PW, where qua..

An electrical schematic with a voltage source : Convert the following to standard SI units, using the appropriate prefix. Maintain the same significant figures. Two examples are done for you. Watch out for capitalization: mega (M) is not milli (m)!

How do the local statistics compare to the national level : Analysis of the problem using sociological theory-Which sociological theories (Structural-Functional/Symbolic-Interaction/Social Conflict) can be used to explain the problem and how? What is the latest sociological research on the problem?

Aggregate demand function : The manager of a local movie theater believes that demand for a film depends on when the movie is shown. Early moviegoers who go to films before 5 pm are more sensitive to price than are evening moviegoers. Write down the aggregate demand function an..

Validity of the officer claim : A sample of 8 applications are randomly taken and these were processed in 7, 6, 7, 9, 3, 3, 8 and 5 days. Assuming that the processing time is normally distributed, test the validity of the officer's claim at 0.01 level of significance.

User Account

All Pages