Contemporary Engineering Economics (6th Edition)
6th Edition
ISBN: 9780134105598
Author: Chan S. Park
Publisher: PEARSON
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Question
Chapter 12, Problem 26P
(a):
To determine
Expected value of no party.
(b):
To determine
Progress point.
(c):
To determine
Decision tree.
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Next Friday, you plan to sell cakes at a bake sale to raise money for your school. You plan to charge $30 per cake, and you anticipate that you will sell 10 cakes. You can either purchase cakes to sell or bake them yourself. If you purchase the cakes, they will cost $25 each. If you bake your own cakes, your cost depends upon the number of cakes you bake, as shown in the table below.
Number of cakes you bake
Total cost of baked cakes ($)
0
0
1
10
2
22
3
36
4
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5
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6
90
7
112
8
136
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a) How many cakes should you bake? How many cakes should you purchase?
Bake ___ cake(s) and purchase ___ cake(s).
b) Given your answer to part a, how much in total will the 10 cakes cost you?
$
c) How much would it have cost you to bake all 10 cakes?
$
d) How much would it have cost you to purchase all 10 cakes?
$
Chapter 12 Solutions
Contemporary Engineering Economics (6th Edition)
Ch. 12 - Prob. 1PCh. 12 - Prob. 2PCh. 12 - Prob. 3PCh. 12 - Prob. 4PCh. 12 - Prob. 5PCh. 12 - Prob. 7PCh. 12 - Prob. 8PCh. 12 - Prob. 9PCh. 12 - Prob. 10PCh. 12 - Prob. 11P
Ch. 12 - Prob. 12PCh. 12 - Prob. 13PCh. 12 - Prob. 14PCh. 12 - Prob. 15PCh. 12 - Prob. 16PCh. 12 - Prob. 17PCh. 12 - Prob. 18PCh. 12 - Prob. 19PCh. 12 - Prob. 20PCh. 12 - Prob. 21PCh. 12 - Prob. 22PCh. 12 - Prob. 23PCh. 12 - Prob. 24PCh. 12 - Prob. 25PCh. 12 - Prob. 26PCh. 12 - Prob. 27PCh. 12 - Prob. 28P
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