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MissTica
4 years ago
11

An artisan who creates customized furniture has a customer who is interested in purchasing several pieces of furniture. The arti

san decides to sell the furniture via a two-part tariff, charging a fee to work with the customer and an additional price for each individual piece of furniture. How should the artisan determine the price of each piece of furniture?
Business
1 answer:
koban [17]4 years ago
8 0

Answer:

2) Set the price of each piece of furniture equal to the marginal cost of producing it.

Explanation:

What happens in two-part tariff is that the producer recovers the entire cost of producing by charging price equal to the marginal cost.

This helps him recover cost and the entire fee the producer charges results in profits eventually. Hence, the profits is the consumer 'surplus' that we calculate given that the price of product is equal to marginal cost.

So answer here is 2- Set the price of each piece of furniture equal to the marginal cost of producing it.

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Find the minimum payment on an unpaid balance of ​$. Assume that the minimum payment on a credit card is the greater of ​$ or ​%
antoniya [11.8K]

Answer:

$27

Explanation:

Giving that the most important(all in actuality) values related to the question are not listed, I'd do well to improvise and assume. And as such, I have these

I'm assuming that the minimum payment on a credit card is the greater of $27 or 3% of the unpaid balance. And thereafter, proceeding to find the minimum payment on an unpaid balance of about $815.69.

To do this, we use simple arithmetic to first find the value of the percentage in dollars, so that

3% of $815.69 = 3/100 * 815.69 = $24.471

Remember that drum the question, the minimum payment is greater than 3% of the unpaid balance or $27. Given than 24.47 is less than 27, our answer is $27

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