5. For many products, there is price sensitivity, meaning the number sold increases as theprice goes down and decreases as the price goes up. Fill in the missing cells in theMarginal Analysis table below (show your numbers). What price offers the highestprofits?(10 pts)Marginal AnalysisVariableTotalCostTotal VariablePrice(P)QuantityRevenue (TR (VC) perCost (TVC =FixedTotal Cost(TC = TVC +Profit Profit =(Q)=PxQ)unitVCX Q)Cost (FC)FC)TR-TC)$9250$0$500$0$200,000$200,000-$200,000$9001,000$900,000$500$500,000$200,000$700,000$200,000$8751,750$1,531,250$500$875,000 $200,000$1,075,000$456,250$8502,500 $2,125,000$500$1,250,000 $200,000$1,450,000$675,000$8253,250$8004,000$7754,750$7505,500$7256,250$7007,000$6757,750$6508,500$6259,250 $5,781,250

The data is given as: We can complete the data by using Microsoft Excel. We will just take note of…

Answered: 5. For many products, there is price…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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