Which companys marker share do you think will grow

Reference no: EM13220191

Two car manufacturers, Saab and Volvo, have fixed costs of $1 billion and marginal costs of $10,000 per car. If Saab produces 50,000 cars per year and Volvo produces 200,000, calculate the average production cost for each company. On the basis of these costs, which company's marker share do you think will grow in relative terms?

Reference no: EM13220191

Questions Cloud

Compute the boiling point of water : the vapor pressure of water is 17.5 mmHg at 20 degrees Celcius, and 355.1 mmHg at 80 Celcius. Calculate the boiling point of water at 760 mm Hg.

Determine if majority of economists predict an increase : 20 economists were sampled and asked to predict if the national economy would improve during the next twelve months. Eleven of the economists predicted an increase, two economists predicted no change, and seven economists predicted.

Explain the mass of the methane in the original mixture : If the total mass of CO2 produced is 33.5 grams, what was the approximate mass of the methane in the original mixture?

What promotion of the annual salary will be economic rent : The City of New York has 200 advertising companies, 199 of which employ designers of normal ability at a salary of $100,000 a year. Paying this salary, each of the 199 firms makes a normal profit on $500,000 in revenue.

Which companys marker share do you think will grow : Two car manufacturers, Saab and Volvo, have fixed costs of $1 billion and marginal costs of $10,000 per car. If Saab produces 50,000 cars per year and Volvo produces 200,000, calculate the average production cost for each company.

Explain is the franc selling at a premium or discount : The 1-year interest rate in the U.S. is 10%; in Switzerland it is 12%. The current spot rate (dollars per franc) is $0.40. a. What do you expect the 1-year forward rate to be b. Is the franc selling at a premium or discount

Define the solutions are a mixture of salts : a solution of 4.00 g of sodium carbonate is mixed with one containing 4.00 g of silver nitrate. after the reaction is complete, the solutions are a mixture of salts.

Determine what total profit would the monopolist make : A market contains two types of consumers, green and yellow. Each green consumer has a demand of P = 20-Q. Each yellow consumer has a demand of P=16-Q. These are individual demand curves. The monopolist who sells to these individuals has a MC

What is the marginal cost of an increase in w1 : Assume a firm wants to minimize its cost of producing y amount using x1 and x2 as inputs, which means it wants to minimize w1x1 + w2x2 subject to x1^(1/2)x2^(1/2)= y: (a) Using Lagrange multiplier method, find optimal x1 and x2 as functions of w1,w2 ..

User Account

All Pages