Answer:
Options B and C are correct.
- Marginal profit is negative.
- Profit is positive.
Explanation:
At q = 150
R = 80q = 80(150) = 12,000
C = 0.002(150)3 + 22(150) + 750 = 6750 + 3300 + 750 = 10,800
R > C so first is incorrect.
MR = 80
MC = 0.006(150 x 150) + 22 = 135 + 22 = 157
MC > MR so B is correct.
Profit = TR - TC = 80(150) - 0.002(150)3 - 22(150) - 750 = 12000 - 10800 = 1200
Profit is positive.
Marginal profit = MR - MC = 80 - 157 = - 77
MR is Negative
Answer: Penguin Catering was using a Concentrated targeting strategy.
An organization that adopts a concentration strategy chooses to focus its marketing efforts on only one very defined and specific market segment. Accordingly, only one marketing mix is developed. For example, the manufacturer of Rolex watches has chosen to concentrate on the luxury segment of the watch market.
Answer:
A) Proposal A= 6875 units
B) Proposal B= 6818 units
Explanation:
Giving the following information:
Two vendors have presented proposals.
Proposal A:
Fixed costs= $55000.
Variable cost= $ 14.00.
Proposal B:
Fixed cost= $75000.
Variable cost= $11.00
The revenue generated by each unit is $ 22.00
Break-even point= fixed costs/contribution margin
A) Proposal A= 55000/(22-14)= 6875 units
B) Proposal B= 75000/(22-11)= 6818 units
Answer:
$28.62
Explanation:
Calculation to determine what amount of revenue will be allocated to Math Fun in the package that contains all three products
First step is to calculate the Total revenue of three product if sold individually
Total revenue= $21 + $37 + $48
Total revenue= $106
Now let calculate the allocation of revenue to Math fun based on revenue proportion
Using this formula
Revenue allocation= Packaged revenue / Total individually revenue * Revenue of Math fun
Let plug in the formula
Revenue allocation= $82/106*37
Revenue allocation= $28.62
Therefore the amount of revenue that will be allocated to Math Fun in the package that contains all three products is $28.62