**Educational Website Content: Analyzing Product Cost and Revenue Data**To analyze the cost and revenue of different products, consider the following questions and use the accompanying graph for reference. The company produces 83,000 parts of Product A and 39,000 parts of Product B monthly.---**Graph Analysis:**The graph titled "More Info" provides a visual representation of both total cost and revenue over time for two products, A and B. - **Axes:** - The x-axis represents Time (t) in months. - The y-axis captures Total Cost or Revenue in millions of dollars.- **Lines on the Graph:** - The **solid green line** depicts Product A’s Total Cost. - The **dashed blue line** represents Product B’s Total Cost. - The **dotted red line** illustrates Product A’s Revenue. - The **dashed red line** shows Product B’s Revenue.The intersection of cost and revenue lines indicates the breakeven point.---**Questions:****(a) Which Product has the higher variable cost, and what is this value in dollars per part?**- Product B has the higher variable cost, which is $0.50 per part.**(b) Which Product has the higher selling price, and what is this value in dollars per part?**- Product B has the higher selling price, which is $1.69 per part.**(c) Which Product has the faster breakeven time, and what is this value in months?**- Product B reaches breakeven faster, in 22 months.**(d) At 6 years, which Product makes more profit and what is this value in dollars?**- At 6 years, Product A generates more profit, amounting to $4,850,000.---This analysis helps understand the comparative financial performance of products to aid in strategic decision-making.

Answered: Image /qna-images/answer/9ff7e9f3-ff41-4fca-990c-feb6e10c365e.jpg

Use the accompanying graph to answer the following questions. Assume the company makes 83,000 parts per month of Product A and 39,000 parts per month of Product B. Click the icon to view the provided graph. (a) Which Product has the higher variable cost, and what is this value in units of dollars per part? Product B has the higher variable cost. This value is $.50 /part. (Type an integer or a decimal. Round y (b) Which Product has the higher selling price, and what is this value in units of dollars per part? Product B has the higher selling price. This value is $ 1.69 /part. (Type an integer or a decimal. Round (c) Which Product has the faster breakeven time, and what is this value in units of months? Product B has the faster breakeven time. This value is 22 month(s). (Type a whole number.) (d) At 6 years, which Product makes more profit and what is this value in units of dollars? At 6 years Product A makes more profit. This value is $4,850,000 (Type a whole number.) More Info Total Cost or Revenue [$] Milions $6- $5 $4 $3 Product A Total Cost Product B Total Cost Product A Revenue Product B Revenue

Use the accompanying graph to answer the following questions. Assume the company makes 83,000 parts per month of Product A and 39,000 parts per month of Product B. Click the icon to view the provided graph. (a) Which Product has the higher variable cost, and what is this value in units of dollars per part? Product B has the higher variable cost. This value is $.50 /part. (Type an integer or a decimal. Round y (b) Which Product has the higher selling price, and what is this value in units of dollars per part? Product B has the higher selling price. This value is $ 1.69 /part. (Type an integer or a decimal. Round (c) Which Product has the faster breakeven time, and what is this value in units of months? Product B has the faster breakeven time. This value is 22 month(s). (Type a whole number.) (d) At 6 years, which Product makes more profit and what is this value in units of dollars? At 6 years Product A makes more profit. This value is $4,850,000 (Type a whole number.) More Info Total Cost or Revenue [$] Milions $6- $5 $4 $3 Product A Total Cost Product B Total Cost Product A Revenue Product B Revenue

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

Given are the formulas for computing. Read the instructions below and do as indicated. Answer the questions below. Then make graphs. (You don't need to post the answers for the computation. What I need are the graphs) • For graphing paper #1 Y axis = total fixed cost (TFC), total variable cost (TVC), and total cost (TC) X axis = output • For graphing paper #2 Y axis = average fixed cost (AFC), average variable cost (AVC), average total cost (ATC), and marginal cost X axis = output
Total Fixed Total Variable Labor (workers) (units per day) Output Cost cost (dollars) (dollars) 20 20 25 50 1 2 3 715 13 16 20 20 100 4. 5. 18 20
Fill in the remaining cells of the following table. Average Total Cost (Dollars per pair) Quantity Total Cost Marginal Cost Fixed Cost Variable Cost Average Variable Cost (Pairs) (Dollars) (Dollars) (Dollars) (Dollars) (Dollars per pair) 120 1 200 240 285 4 340 425 6. 540
Please see attached image for question. Please note that there is an overline above the "K" in the oven/captial equation (K = 1). It does not show clearly in the image.
Output (unit) Total cost (RM) Total fixed cost (RM) Total variable cost (RM) Average fixed cost (RM) Average variable cost (RM) Average total cost (RM) Marginal cost (RM) 0 600 600 - - - - - 10 1050 600 450 60 45 105 45 20 1450 600 850 30 42.5 72.5 40 30 1800 600 1200 20 40 60 35 40 2100 600 1500 15 37.5 52.5 30 50 2450 600 1850 12 37 49 350 60 2850 600 2250 10 37.5 47.5 40 70 3300 600 2700 8.57 38.57 47.14 45 80 3850 600 3250 7.5 40.625 48.125 55 90 4500 600 3900 6.67 43.34 50 65 100 5250 600 4650 6 46.5 52.5 75 Which time period is the firm operating? Why?
What is the relationship between marginal cost (MC) curves and average cost (AC) curves? You may use a graph help you illustrate whenever necessary.
(a) What do you mean by inventory carrying cost and ordering cost? Explain with examples. 2(b) Mr Mahmud operates a cosmetics shop at Dhanmondi. The annual demand for soap is 2,500 units. The setup cost is Tk.15 per order. The material cost per unit Tk.3 and the holding cost 10% of average inventory.. a) What is the optimum number of units per order? (Use EOQ formula)b) What is the expected number of orders per year if management considers the followings units for order placement: 100 units, 250 units, 500 units and 1250 units?(Use comparative tabular format)
Only typed answer
Draw a graph to show a condition of Unitarily Elastic in Demand. Explain what actually happens to create such curves and give ONE example of product under this category
The table below shows the monthly cost of producing vintage model cars for collectors. Instructions: Enter your answers as a whole number. Fill in the missing values for total fixed cost, total variable cost, and total cost in the table below. Vintage Model Car Production Costs Output 0 100 200 300 400 Total Fixed Cost (dollars) $3,000 3000 3000 3000 3000 Total Variable Cost (dollars) 1,200 1,700 3,700 III Total Cost (dollars) $3,000 5,700
Consider the following total cost function: where represents output and are constants. What can we conclude? (a) The firm experiences rising average fixed costs, but falling average variable costs. (b) The firm experiences falling average fixed costs, but rising average variable costs. (c) The firm experiences falling average fixed costs and falling average variable costs. (d) The firm experiences rising average fixed costs and rising average variable costs
It costs a baker a fixed cost of $420 and variable cost of $2.10 per cupcake.A cupcake is sold for $4.90 each.(iii) Write an algebraic expression representing the cost C as a function of the number of cupcakes x that are produced.