Business, 16.07.2021 17:30, brandonshaw16

A monopolistic company has to spend exactly $3000 as total cost for the production of a number of Basic Science and Mathematics textbooks for three schools. The Basic Science textbook sells at P1 = 455 – Q1 – Q2 and the Mathematics textbook at P2 = 910 – Q1 – 4Q2 where P1 and P2 denote the prices; Q1 and Q2 denote the number of Basic science and mathematics textbooks produced respectively. The joint cost of producing these textbooks is given as TC = 5Q1 + 10Q2 (i) Find the maximum profit the producer can make (ii) Estimate the new profit if the company decides to reduce the total cost by $50 (Assume that 2nd order conditions are satisfied)

Answers: 1

Show answers

Other questions on the subject: Business

Business, 21.06.2019 16:10, emmaja121003

Baldwin has negotiated a new labor contract for the next round that will affect the cost for their product bold. labor costs will go from $7.91 to $8.41 per unit. in addition, their material costs have fallen from $13.66 to $12.66. assume all period costs as reported on baldwin's income statement remain the same. if baldwin were to pass on half the new costs of labor and half the savings in materials to customers by adjusting the price of their product, how many units of product bold would need to be sold next round to break even on the product?

Answers: 2

continue

Business, 21.06.2019 23:00, rosie20052019

Which of the following statements about the relationship between economic costs and accounting costs is true? multiple choice accounting costs are equal to or greater than economic costs. accounting costs must always equal economic costs. accounting costs are always greater than economic costs. accounting costs are always less than or equal to economic costs.

Answers: 2

continue

Business, 21.06.2019 23:30, probablyacommunist

Using the exxon data as an example what would be the market capitalization of penny's pickles if each share is selling for $175.35?

Answers: 3

continue

Business, 22.06.2019 12:20, Tierriny576

If jobs have been undercosted due to underallocation of manufacturing overhead, then cost of goods sold (cogs) is too low and which of the following corrections must be made? a. decrease cogs for double the amount of the underallocation b. increase cogs for double the amount of the underallocation c. decrease cogs for the amount of the underallocation d. increase cogs for the amount of the underallocation

Answers: 3

continue

Do you know the correct answer?

A monopolistic company has to spend exactly $3000 as total cost for the production of a number of Ba...