Answer:
Producing 4 units yields the highest marginal revenue at 1500.
Explanation:
To calculate marginal revenue we look at the change in revenue figure compared to the change in units. In other words dividing the change in total revenue by the change in total output quantity.
Based on the information given these are the changes in marginal revenue per quantity.
1. 1200
2. 2200 - 1200 = 1000
3. 3400 - 2200 = 1200
4. 4900 - 3400 = 1500
5. 5500 - 4900 = 600
6. 6000 - 5500 = 500
7. 6500 - 6000 = 500
8. 6200 - 6500 = (300)
Thus based on the comparisons of the different quantities optimal marginal revenue is reached at 4 units of production. 1500 total marginal revenue
Answer:
c. total revenue does not change.
Explanation:
A price elasticity of demand can be defined as a measure of the responsiveness of the quantity of a product demanded with respect to a change in price of the product, all things being equal.
Mathematically, the price elasticity of demand is given by the formula;
The demand for goods is said to be elastic, when the quantity of goods demanded by consumers with respect to change in price is very large. Thus, the more easily a consumer can switch to a substitute product in relation to change in price, the greater the elasticity of demand.
Generally, consumers would like to be buy a product as its price falls or become inexpensive.
For substitute products (goods), the price elasticity of demand is always positive because the demand of a product increases when the price of its close substitute (alternative) increases.
If the price elasticity of demand for a product equals 1, as its price rises the total revenue does not change because the demand is unit elastic.
Answer:
The Kmart was held by the court not liable because David assumed the risks of sledding.
Explanation:
Negligent actions are those actions that come under the rubric of tort actions. To prove negligent actions against a person or a company, the plaintiff is required to prove four things in court– duty, breach, causation, and damages.
In the given case, the court will not be held Kmart liable because David (the consumer) was aware of the risks involved in the sledding. Therefore, the case of negligent actions is not applicable for Kmart.
- The preparation of the incremental analysis of Twilight hospital is presented below:
<u>Particulars Retain scanner Replace scanner Net income </u>
Annual
operating cost $318,000 $243,000 $75,000
($106,000 × 3) ($25,000 × 3)
New
scanner cost $110,000 -$110,000
Old scanner salvage -$45,500 $45,500
Total $318,000 $307,500 $10,500
In this way, the incremental analysis should be prepared.
Learn more about the salvage value here: brainly.com/question/15711481
