Company B manufactures product Y - VC = 10,000 VND/unit - FC = 300,000,000 VND - - IRR = 20% Investment: 1,000,000,000 VND - Qexp=50,000 units 1. Calculate the price to reach target profit 2. If cut or raise the price by 2000/ unit - calculate Q to reach the target profi
Company B manufactures product Y - VC = 10,000 VND/unit - FC = 300,000,000 VND - - IRR = 20% Investment: 1,000,000,000 VND - Qexp=50,000 units 1. Calculate the price to reach target profit 2. If cut or raise the price by 2000/ unit - calculate Q to reach the target profi
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
None

Transcribed Image Text:Company B manufactures product Y
- VC = 10,000 VND/unit
- FC = 300,000,000 VND
-
- IRR = 20%
Investment: 1,000,000,000 VND
-
Qexp=50,000 units
1. Calculate the price to reach target
profit
2. If cut or raise the price by 2000/
unit
-
calculate Q to reach the target profi
Expert Solution

This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps

Recommended textbooks for you


Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON

Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON


Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON

Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON

Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning

Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning

Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education