Business
Business, 05.03.2021 22:00, carafaith02

Imagine you are the owner and the CEO of a small company manufacturing specialty kayaks. You have designed a new kayak and are trying to analyze the costs, the revenues, the profits associated with the productions and sales of this new product. You have determined that you will have to spend $150,000 on the new production line set-up and the advertising, and that after that it will cost you $400 to produce each kayak. You also conducted market research which showed that the demand equation for the new kayak is (p+10q=3000) where q is the number of the kayaks that will be purchased at the price p dollars per kayak. You decided that you will always price the kayaks at the highest price at which all manufactured kayaks will be sold. Now, do the following analysis. Required:
a. Express the company’s costs C that will be incurred in the production of the new kayak, the revenue R and the profit P from the sales of the kayak as functions of the quantity q of these kayaks that are manufactured and sold.
b. Determine what levels of production will result in the company breaking even.
c. Determine what levels of production will lead to the company making as large profit as possible, what is the maximum possible profit that the company can make by manufacturing and selling the new kayak.
d. Determine what level of production will result in the company’s revenue being as large as possible.

answer
Answers: 1

Other questions on the subject: Business

image
Business, 22.06.2019 16:00, ari313
What impact might an economic downturn have on a borrower’s fixed-rate mortgage? a. it might cause a borrower’s payments to go up. b. it might cause a borrower’s payments to go down. c. it has no impact because a fixed-rate mortgage cannot change. d. it has no impact because the economy does not affect interest rates.
Answers: 1
image
Business, 22.06.2019 16:10, boogerbuttday
Omnidata uses the annualized income method to determine its quarterly federal income tax payments. it had $100,000, $50,000, and $90,000 of taxable income for the first, second, and third quarters, respectively ($240,000 in total through the first three quarters). what is omnidata's annual estimated taxable income for purposes of calculating the third quarter estimated payment?
Answers: 1
image
Business, 22.06.2019 20:50, agray339
Swathmore clothing corporation grants its customers 30 days' credit. the company uses the allowance method for its uncollectible accounts receivable. during the year, a monthly bad debt accrual is made by multiplying 3% times the amount of credit sales for the month. at the fiscal year-end of december 31, an aging of accounts receivable schedule is prepared and the allowance for uncollectible accounts is adjusted accordingly. at the end of 2012, accounts receivable were dollar 586.000 and the allowance account had a credit balance of dollar 50,000. accounts receivable activity for 2013 was as follows: the company's controller prepared the following aging summary of year-end accounts receivable: prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. (if no entry is required for a particular event, select "no journal entry required" in the first account field.) prepare the necessary year-end adjusting entry for bad debt expense. (if no entry is required for an event, select "no journal entry required" in the first account field.) what is total bad debt expense for 2013? calculate the amount of accounts receivable that would appear in the 2013 balance sheet?
Answers: 2
image
Business, 22.06.2019 22:50, kelseeygee
What is the difference between the contractual interest rate and the market interest rate?
Answers: 1
Do you know the correct answer?
Imagine you are the owner and the CEO of a small company manufacturing specialty kayaks. You have de...

Questions in other subjects:

Konu
Mathematics, 20.04.2021 04:10
Konu
Mathematics, 20.04.2021 04:10