Rational investors ________ fluctuations in the value of their investments.

A company estimates that it can sell 5,000 headphone each week if it prices each set of headphones at $20. However, its weekly n

nadezda [96]

Answer:

At what price is revenue maximum?

$13 and $12 per unit (maximum revenue $156,000)

What is the maximum revenue and how many sets of headphones should the company expect to sell?

$156,000

Write your conclusions in a sentence.

When the price is higher than $12 per unit, demand is elastic, which means any decrease in price will result in a larger proportional increase in quantity demanded. This in turn increases total revenue. Below $12 per unit, demand is inelastic, which means that a decrease in price will result in a smaller increase in quantity demanded.

Explanation:

price quantity demanded total revenue

$20 5000 $100000

$19 6000 $114000

$18 7000 $126000

$17 8000 $136000

$16 9000 $144000

$15 10000 $150000

$14 11000 $154000

$13 12000 $156000 

$12 13000 $156000 

$11 14000 $154000

$10 15000 $150000

$9 16000 $144000

$8 17000 $136000

$7 18000 $126000

$6 19000 $114000

$5 20000 $100000

$4 21000 $84000

3 22000 $66000

2 23000 $46000

1 24000 $24000

4 0

3 years ago

A firm selling televisions knows from marketing research that when consumers in developing countries reach on average a yearly i

yulyashka [42]

Answer:

That low income can be enough because of either one of these two reasons (or the two at the sime time):

A high proportion of subsidized good for low-income earners in developing countries: a consumer making $1,000 per year on average could benefit from subsidized food, housing, healthcare, and even transportation, allowing this person to devote most of his income to other expenses.
Cheap credit available: this same person could not have enough money to pay for the television in cash, but could easily obtain a credit with low interest rates, and long-term payments.

5 0

3 years ago

Tara is responsible for the strategic planning retail planning process in her organization. She has identified the strategic opp

Stells [14]

Answer:

A. Evaluate strategic opportunities.

Explanation:

In strategic retail planning the steps begin with definition of business mission, conduct situation analysis, identify strategic opportunities, and the next stage is to evaluate the strategic opportunities.

In the evaluation stage we look at how feasible a strategic opportunity is. A choice is made between different alternatives to come up with the best choice for the business.

6 0

3 years ago

A __________-__________ bond is a straight fixed-rate bond issued in one currency that pays coupon interest in that same currenc

riadik2000 [5.3K]

A dual-currency bond is known to be a hybrid debt instrument that often has payment obligations over the life of the issue. A dual currency bond is a straight fixed-rate bond issued in one currency that pays coupon interest in that same currency.

In dual currency bond, the borrower often makes coupon payments in one currency, but get the principal at maturity in another currency.

Its advantage is that Investors using this bonds often gets higher coupon payments than straight bonds etc.

Straight fixed-rate bond issues often have a Known maturity date where the principal of the bond issue is said to be repaid.

Learn more from

brainly.com/question/2692687

3 0

2 years ago

7. Gold Company has budgeted the following costs for the production of its only product: Direct Materials $75,000 Direct Labor 5

STatiana [176]

Answer:

$68 = unitary variable cost

Explanation:

Giving the following formula:

Gold Company wants a profit of $100,000

Production= 2,500 units

Selling price= $125

Fixed indirect production costs 27,500

Fixed selling and administrative costs 15,000

To calculate the target total unitary variable cost, we need to use the following formula:

number of units sold= (desired profit + fixed costs) / (selling price - unitary variable cost)

2,500= (100,000 + 27,500 + 15,000) / (125 - unitary variable cost)

312,500 - 2,500unitary variable cost = 142,500

170,000 = 2,500unitary variable cost

$68=unitary variable cost

3 0

3 years ago