Problem on price mark up
A company consists $27 per unit in variable costs and $1,000,000 annually in fixed costs. Demand is predicted to be 100,000 units annually. Determine the price if a markup of 40% on total cost is used to determine the price?
Expert
Total variable cost 1, 00,000 * 27 = $27, 00,000+ Fixed Cost = $10, 00,000
Thus total cost is $37, 00,000 i.e. $37 per unit.
Thus price is 37 + 40% i.e. $51.80.
must use graphs to demonstrate/support answers where available. Submission is to be made tonight, so needs to be finished urgently
Can someone help me in determining the right answer from the given options. The production possibilities frontier model can be employed to describe: (1) The scarcity. (2) Full employment, efficiency and limited resources. (3) The opportunity costs and
A firm’s perception which competitors will match price cuts but avoid price hikes yields: (w) price leadership behavior. (x) limit pricing structures. (y) kinked demand curves. (z) monopolistic competition. Can anybody sugges
I have a problem in economics on Illustration of Rational Ignorance. Please help me in the following question. Supposing that the meat you purchase from a grocery store is good devoid of inspecting its quality yourself with the microscope is an illustration of: (1) Be
When a profit-maximizing monopolist who does not price discriminate charges a price equal to its marginal cost, this will: (w) minimize average cost and generate zero economic profit. (x) minimize average cost and gen
Income of consumer: In case of normal good - Increase in income leads to rise in quantity demanded of a normal good and reduce in income leads to reduction in quanti
In efforts to offset specific failures of the private sector, government policy within a mixed-capitalist economy would be least reasonably intended at an objective of: (1) creating externalities to spread the costs of various activities across all me
Since this demand curve for DVD games is a straight line, and its slope: (w) is constant, although the absolute value of price elasticity of demand falls as output increases. (x) varies to compensate for changes within elasticity. (y) is constant, alt
In the quintile distribution of income, the term "quintile" represents
When Info-Gadget and Inc. offers only 333 thousand generic potato peelers monthly at $1 each as well as 1,667 thousand at $2 each, its price elasticity of supply is around: (1) 1.0. (2) 1.5. (3) 2.0. (4) 3.0. (5) 0.5. Discover Q & A Leading Solution Library Avail More Than 1449192 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads No hassle, Instant Access Start Discovering 18,76,764 1952418 Asked 3,689 Active Tutors 1449192 Questions Answered Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!! Submit Assignment
18,76,764
1952418 Asked
3,689
Active Tutors
1449192
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!