first part options: 300,100,400,200second part options: negative, at its maximum, equal to 0, at its minimum, positive This problem gives you a preview of something you might see in a microeconomics class. Suppose there's an appliance store that sells airconditioners. It could set its price high and sell very few air conditioners, or it could set its price low and sell many more air conditioners. The followingtable shows some possible choices this store could make:ABсDEPrice(Dollars per air conditioner)7205403601809081NTOTAL REVENUE (Thousands of dollars per year)The graph below plots the firm's total revenue curve: that is, the relationship between quantity and total revenue given by the two right columns inthe table above. The five choices are also labeled. Finally, two black lines are shown; these lines are tangent to the green curve at points B and D.453627∞0AA500BQuantity(Air conditioners per year)сAD0100200300400100150200 250300QUANTITY (Air conditioners per year)350EៗTotal Revenue (P x Q)(Dollars per year)054,00072,00054,0000400 Using the information on the slope of the lines tangent to the curve at points B and D, plot the slope of the total revenue curve on the graph below.(As it turns out, it's a straight line, so the two points you plot will determine a line.)REVENUE (Dollars per air conditioner)450360270180900-90-180-270-360-45050100150200250 300 350QUANTITY (Air conditioners per year)→400The total revenue curve reaches its maximum at a quantity ofisSlope of TR?air conditioners per year. At this point, the slope of the total revenue curve

Total revenue is price times quantity. Marginal revenue is the slope of total revenue. It measures…

This problem gives you a preview of something you might see in a microeconomics class. Suppose there's an appliance store that sells air conditioners. It could set its price high and sell very few air conditioners, or it could set its price low and sell many more air conditioners. The following table shows some possible choices this store could make: A B Price (Dollars per air conditioner) 720 540 Quantity (Air conditioners per year) 0 100 Total Revenue (P x Q) (Dollars per year) 0 54,000

This problem gives you a preview of something you might see in a microeconomics class. Suppose there's an appliance store that sells air conditioners. It could set its price high and sell very few air conditioners, or it could set its price low and sell many more air conditioners. The following table shows some possible choices this store could make: A B Price (Dollars per air conditioner) 720 540 Quantity (Air conditioners per year) 0 100 Total Revenue (P x Q) (Dollars per year) 0 54,000

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

What is meant by "Monte Carlo" simulation? Simulation that is repeated more than 1000 times. Simulation based on certainty of certain problem conditions. O A simulation technique based on the odds of a roulette table. Simulation that uses randomly generated values for certain variables. OA simulation technique based on Excel formulas. O None of the above.
2) Alcem Pte. Ltd. Is in the business of manufacturing cement. The company sets up a 1 million ton plant. The total cost of setting up the plant is $100 million. The cost of Raw material/ Labor etc for producing 1 ton of cement is $ 40. The price of Cement is $80 per ton. Assume a Capital Cost of 10% (which is also its opportunity cost) a) What is the breakeven quantity of cement for Alcem? 250,000 tons b) In the short run, below what price should Alcem shut down? $40 c) If Alcem produces and sells 1 million tonnes of Cement, what is the Economic Profit it is making? $30 million d) If there are no barriers to entry in this business what would you expect
Consider the following cost matrix: No probabilities are known for the occurrence of the nature states. Compare the solutions obtained by each of the following criteria: (a) Laplace (b) Maximin(Minimax) (c) Savage (d) Hurwitz (assume that alpha = 0.8)
Given the variable costs (VC) and fixed costs (FC) from the table below, calculate the range for which each option minimizes cost. Option FC (R) VC (R/unit)A 50,000 2B 100,000 1C 60,000 1.4
One of the main concerns in the coronavirus outbreak is the spreadof the virus during air travel. To avoid the risk of spreadingvirusand eliminate concernsduring air travel, airlines started to circulate fresh air in the airplane cabins every 3 minutes. For this purpose, air needs to be compressedfrom outside to inside the airplane cabinand conditioned for passenger comfort and safety. Calculate the average cost of this new implementation to Turkish Airlines for one of its national flights assuming that the energy costs 2 $ per kW hr?
If the MPC is .75, then the multipier is 4. True or false?
What can you say about negative and positive gross margin in sensitivity analysis
Godo
Feasibility frontiers are typically drawn downward sloping and concave to the point of origin as depicted in the figure below: 100 90 80 70 60 50 40 30 20 10 24 Hours of free time per day Why do feasibility frontiers have this shape? Why can't feasible frontiers be convex? Can feasibility frontiers be a straight line instead of a curve? Why/why not? Final grade
Eng. Economic Q1. Would a dollar tomorrow be worth more to you today when interested is 20% or 10%?
I need the answer as soon as possible
(a) What is the profit-maximizing level of output and how much daily profit will the producer below earn if the price of pizza is $ 2.50 per slice? MC Salice ATC (AVC 2.50 1.40 slices/day 570