1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Alecsey [184]
3 years ago
9

Suppose the market for this product is served by two firms who have formed a cartel and are colluding to set the price and quant

ity in this market. If the marginal cost to produce this product is constant at $40 per unit and there is no fixed cost, then what will the combined profit of the cartel be? a. $24,000 b. $15,000 c. $27,000 d. $63,000
Business
1 answer:
kondaur [170]3 years ago
3 0

Answer:

the answer is B

Explanation:

because there are less things in the number and if this dos not help you I am sorry I am not good at math

You might be interested in
Lusk corporation produces and sells 20,000 units of product x each month. the selling price of product x is $30 per unit, and va
balandron [24]

From economics, we know that the formula for Profit is:

Profit = Income – Total Cost

Case 1: Continue producing and selling product x

income is calculated as:

Income = ($30 / unit) * (20, 000 units)

Income = $ 600, 000

Total cost is composed of both the fixed cost and variable cost:

Total cost = Variable cost + Fixed cost

Total cost = ($21 / unit) * (20, 000 units) + $250,000

Total cost = $670, 000

Therefore, the profit of producing and selling product x each month is:

Profit = $ 600, 000 - $670, 000

<span>Profit 1= - $70, 000        (decifit)</span>

 

Case 2: Discontinue producing and selling product x

Since there is no income but there is unavoidable fixed cost of $50,000, therefore:

<span>Profit 2 = - $50, 000       (deficit)</span>

 

The company’s overall net operating income would be the change in profit (deficit in this case):

Net operating income = Profit 2 – Profit 1

Net operating income = - $50, 000 – (- $70, 000)

Net operating income = $20, 000

 

<span>Therefore discontinuing product x would result in an increase in the overall net operating income by $20,000 per month.</span>

8 0
3 years ago
Starbucks' efforts to expand its distribution beyond traditional outlets, including other restaurant chains, hotels, airlines, u
sweet-ann [11.9K]

Answer: False

Explanation:

Starbucks efforts to expand have yielded fruit as it is now more accessible to its ever increasing customer base which is as a result of the brand's recognition and reputation.

They are now more successful as a result and this is proven by the fact that Starbucks revenue has been rising since 2013 from around $14 billion to $26.5 billion in 2019.

8 0
2 years ago
Some large hardware stores, such as Home Depot, boast of carrying as many as 20,000 different products in each store. This volum
jeyben [28]

Answer:

C. The choice of consumers regarding what to purchase to satisfy their wants and the choice of producers regarding what to produce to maximize profits.

Explanation:

The extremely large amount of products that large hardware stores, such as Office Depot, carry, are most likely a consequence of the combination of these factors. On the one hand, the customers who go to this stores have a particular want, and their purchases are intended to satisfy these wants. On the other hand, the producers also have to make a choice, and they generally chose the products that are most likely to maximize their profits.

5 0
3 years ago
Holding other things constant, an increase in the inflation rate in the US compared to China may cause the demand for dollar to
Oliga [24]
Increase and increase. If it’s wrong please let me know!
6 0
3 years ago
":Your local travel agent is advertising an upscale winter vacation package for travel three years from now to Antarctica. The p
8090 [49]

Answer:

$85,931.40

Explanation:

Present value is the sum of discounted cash flows.

Present value can be calculated using a financial calculator:

Cash flow in year 0 = $20,000

Cash flow in year 1 = $35,000

Cash flow in year 2 = 0

Cash flow in year 3 = $45,000

Discount rate = $85,931.40

I hope my answer helps you

4 0
3 years ago
Other questions:
  • Anchor Company purchased a manufacturing machine with a list price of $85,000 and received a 2% cash discount on the purchase. T
    13·1 answer
  • What may be offered to clients when banks find the risk too high?
    6·1 answer
  • Weighted Average Cost Flow Method Under Perpetual Inventory System The following units of a particular item were available for s
    9·2 answers
  • ___________is a conductor installed on the supply side of a service or separately derived system to ensure the required electric
    7·1 answer
  • Which of these factors make it difficult for an employee to get a job offer?
    6·1 answer
  • Land is purchased for​ $300,000. Back taxes paid by the purchaser were​ $8,500; total costs to demolish an existing building wer
    8·1 answer
  • Sandusky Inc. has the following costs when producing 100,000 units: Variable costs $600,000 Fixed costs 900,000 An outside suppl
    12·1 answer
  • The actual cost of direct materials is​ $47.50 per pound. The standard cost per pound is​ $51.75. During the current​ period, 7,
    9·1 answer
  • Goods sold to Mahesh Rs 20000 journal entries​
    15·1 answer
  • Danaher Corporation manufactures a variety of products, including electronic measurement instruments and network communications
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!