decease in the homebuilding market. The business proposal model will help Thomas Money Services Inc. to put in place applications to increase revenue, profit maximization quantities and to establish a mix of pricing and non-price strategies with low marginal cost and revenue theories. These applications will offset the negative impact of the decease in the homebuilding market. The business proposal presents methods to overcoming barriers to entry in to the market, how to increase product differentiation
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total revenue (TR) function in terms of Q. b. Specify the marginal revenue function. c. Write an equation for the total cost (TC) function in terms of Q. d. Specify the marginal cost function. a. Total revenue function in terms of Q: We rewrite the demand curve in terms of Q. P=(120,000-Q)/10,000; P=12-Q/10,000; Then, we multiply by Q to find the total revenue (TR). TR=P.Q; TR=(12-Q/10,000)xQ; TR=12Q-Q^2/10,000; b. The marginal revenue function: MR=∂TR/∂Q=12-2Q/10,000; MR=12-Q/5,000;
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concept of marginal utility, explain why these vending machines differ? After taking the first newspaper from the newspaper vending machine, the marginal utility for multiple newspapers is zero. Reason: all newspapers are identical (one item); you don’t learn any more news by taking more than one newspaper. If the newspaper vending machine allowed you to pay for one newspaper and take multiple newspapers, you wouldn’t. For vending machines that dispense more than one item, the marginal utility
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discrimination 5 / 39 PRICE DISCRIMINATION First-Degree Price Discrimination ◮ ◮ ◮ ◮ ◮ All customers are charged a price equal to their reservation price. The firm captures 100 percent of the consumer surplus. Equilibrium output and marginal cost are the same as under perfect competition. There is no dead-weight loss. Requires that firms have a relatively small number of buyers and that they are able to estimate buyers’ reservations prices ⋆ ⋆ ⋆ May be operationalized by means of
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2.1: They are designed to elicit thanks, perhaps a snigger or two, and then be thrown away. 2: Many products we buy don’t have any use at all 3.1: People in eastern Congo are massacred to facilitate smartphone upgrades of ever diminishing marginal utility 3.2: Forests are felled to make ''personalised heart-shaped wooden cheese board sets'' 3.3: Rivers are poisoned to manufacture talking fish 3.4: manufacturing and consumption are responsible for more than half of our carbon dioxide production
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------------------------------------------------- GRAPHING AND RELATIONS Duration: Part A: 95 minutes Part B: 45 minutes Timeline for classes: Part A Construction and interpretation of graphs: 95 minutes to complete 8 questions worth 57 marks Part B Linear Programming: 45 minutes to complete 2 questions worth 20 marks. The total marks allocated for this SAC is 77 (marks will be adjusted for outcomes). Materials allowed: 1 x Bound reference (which remains with the teacher for the 2
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Answer | | | | | Selected Answer: | sellers make profits in excess of competitive returns | Correct Answer: | at best you get what you pay for | | | | | * Question 6 5 out of 5 points | | | In the purely competitive case, marginal revenue (MR) is equal to:Answer | | | | | Selected Answer: | price | Correct Answer: | price | | | | | * Question 7 | | | All of the following are mechanisms which reduce the adverse selection problem except ____.Answer
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point. She has a better understanding of the management decisions made at the company where she works. Budgets and monies that are as well as are not, invested into training, research, and education, makes more sense to her. The law of diminishing marginal revenue that discusses and graphs input and output provided her with the greatest understanding. She can relate the number of hours worked to the increased quality of output and how the quality of output will decrease because one becomes less productive
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short run cost and demand data given in the table below confront a monopolistic competitor selling a given product and engaged in a given amount of product promotion. Compute the marginal cost and marginal revenue of each unit of output and enter these figures in the table. Total Marginal Quantity Marginal Output cost cost demanded Price revenue 0 $ 25 0 $60 1 40 $_____ 1 55 $_____ 2 45 _____ 2 50 _____ 3 55 _____ 3 45 _____
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Shrimps Production Ltd.is to select a machine out of two proposal PI and PII.The former is a semi automatic model requiring a fixed rental of Rs.3,000 p.a.and variable cost of production of Rs.1,000 p.a.and variable cost of production of Rs..0.25 perunit. The market demand has been showing fluctuation and probabilities of different demand levels have been put as follows: Demand | v.cost | Rental | Totalcost | Prob. | Expectedcost | 10,000 | 1,000 | 3,000 | 4,000 | 0.12 | 480 | 12,000 | 1,200
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