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Strike441 [17]
3 years ago
6

Suppose that the inverse demand for San Francisco cable car rides is p=10-(Q/1000), where p is the price per ride and Q is the n

umber of rides per day. Suppose the objective of San​ Francisco's Municipal Authority​ (the cable car​ operator) is to maximize its revenuesL.
What is the​ revenue-maximizing price?
Business
1 answer:
Yuki888 [10]3 years ago
3 0

Answer:

Explanation:

Revenue is given by the number of rides per day (Q) multiplied by the price per ride (p):

r=Q*p=Q*(10-\frac{Q}{1000}) \\R=10Q-\frac{Q^2}{1000}

The number of rides 'Q' for which the derivate of the revenue function is zero is the revenue-maximizing number of rides:

R(Q)=10Q-\frac{Q^2}{1000}\\R'(Q) = 0 = 10-\frac{Q}{500}\\Q=5000\ rides

The price per ride at an activity of 5000 rides per day is:

p(5,000) = 10 - \frac{5,000}{1,000}\\p=\$5

Therefore, the revenue-maximizing price is $5

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Which president would have been most likely to agree that the government’s role in people’s lives should be more limited ?
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Answer:

A. Ronald Reagan

B. Barack Obama

C. Franklin D. Roosevelt

D. Lyndon B. Johnson

Explanation:

Ronald Reagan's presidency marked a shift in US government, being the first Conservative US president in over 50 years after a loss of confidence in liberal programs, that especially rose after Nixon's watergate scandal. One of his campaign slogans was "Government is not the solution to our problem, government is the problem" and sought to begin a new era of national renewal. His presidency marked the starting point of what is known as the Reagan Era, to refer to the lasting impact that the Reagan Revolution had on domestic and foreign policy, as he fought for and achieved to decrease the size of federal government, his administration enacted a major tax cut, eliminated federal regulations, decreased federal government responsibility in solving social problems, reducing restrictions on business and cutting spending for domestic programs and an increase in defense spending.

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How will knowing an organization’s culture help employees? By knowing an organization’s culture, employees will have an understa
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expectations about behavior and safety norms in the workplace.

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3. Do you agree with Graeter’s decision to stop franchising?
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Answer: Yes, I agree with Graeter’s decision to stop franchising?.

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Graeter’s decision to stop franchising was simply to maintain the quality of their products.

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5 0
3 years ago
Wesimann Co. issued 12-year bonds a year ago at a coupon rate of 7.2 percent. The bonds make semiannual payments and have a par
strojnjashka [21]

Answer:

$1,138.92

Explanation:

Current bond price can be calculated present value (PV) of cash flows formula below:

Current price or PV of bond = C{[1 - (1 + i)^-n] ÷ i} + {M × (1 + i)^-n} ...... (1)

Where:

Face value = $1,000

r = coupon rate = 7.2% annually = (7.2% ÷ 2) semiannually = 3.6% semiannually

C = Amount of semiannual interest payment = Face value × r

C = $1,000 × 3.6% = $36

n = number of payment periods remaining = (12 - 1) × 2 = 22

i = YTM = 5.5% annually = (5.5% ÷ 2) semiannually = 2.75% semiannually  = 0.0275 semiannually

M = value at maturity = face value = $1,000

Substituting the values into equation (1), we have:

PV of bond = 36{[1 - (1 + 0.0275)^-22] ÷ 0.0275} + {1,000 × (1 + 0.0275)^-22}

PV of bond = $1,138.92.

Therefore, the current bond price is $1,138.92.

4 0
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