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Brums [2.3K]
4 years ago
10

Assume a monopolist with​ downward-sloping demand and marginal revenue​ (MR) curves. The monopolist operates with standard margi

nal cost​ (MC) and average total cost​ (ATC) curves. How does a monopolist determine the​ profit-maximizing output level and the corresponding​ profit-maximizing price?
Business
1 answer:
xxTIMURxx [149]4 years ago
7 0

Answer:

The monopolist's profit maximizing level of output and corresponding profit-maximizing price is found by equating its marginal revenue with its marginal cost, which is the same profit maximizing condition that a perfectly competitive firm utilizes in determining its equilibrium level of output. Therefore, as the price falls, the market's demand for output increases.

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Land used for raising crops or livestock is generally called a
lozanna [386]

Answer:

A tract of land used for raising crops or livestockcan be called a field or a farm.

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3 years ago
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RealTurf is considering purchasing an automatic sprinkler system for its sod farm by borrowing the entire $65,000 purchase price
lesantik [10]

Answer:

The project return is lower than the minimum accepted of 15% thus not profitable for the company

Net Present Value -1.279,86‬

Explanation:

<u>Loan Present value</u>

PMT of the loan:

PV \div \frac{1-(1+r)^{-time} }{rate} = C\\

PV 65,000

time   4

rate 0.12

65000 \div \frac{1-(1+0.12)^{-4} }{0.12} = C\\

C  $ 21,400.238

Present value at MARR:

C \times \frac{1-(1+r)^{-time} }{rate} = PV\\

C $21,400.24

time 4 years

rate 0.15

21400.2383598698 \times \frac{1-(1+0.15)^{-4} }{0.15} = PV\\

PV $61,097.2175

<u>Salvage value:</u>

\frac{Salvage }{(1 + rate)^{time} } = PV  

Salvage $9,000

time  9 years

rate  0.15000

\frac{9000}{(1 + 0.15)^{9} } = PV  

PV   2,558.36

<u>Cost savings present value:</u>

Cost savings per year:           25,000

less maintenance expenses (13,000)

net cash flow                          12,000

C \times \frac{1-(1+r)^{-time} }{rate} = PV\\

C $ 12,000

time 9 years

rate 0.15

12000 \times \frac{1-(1+0.15)^{-9} }{0.15} = PV\\

PV $57,259.0070

Net Present Value

PV cost savings + PV salvage - PV loan payment

57,259 + 2,558.36 - 61,097.22 = -1.279,86‬

3 0
3 years ago
Major E. has just opened a cooking school focusing on basic meals for new cooks. Each student pays $15 per class and receives al
Shalnov [3]

Answer:

It will need to collect 800`s $15 class

Assuming 4 clases per month

200 student

Explanation:

Sales \: Revenue - Variable \: Cost = Contribution \: Margin

15 - 6 = <em>9 Contribution Margin</em>

<em />

<em>Fixed Cost</em>

2 employee 2,400

mayor salari 1,800

equipment dep 1,000

utilities 240

Total fixed 5,440

\frac{Fixed\:Cost + Target\: Profit}{Contribution \:Margin \:Ratio} = Sales\: to\: Profit{dollars}

(5,440+1,760)/9 = 800

7 0
4 years ago
Rob and Lori purchased a home for $350,000 with an additional $5,000 in related purchase costs and then added a garage at a cost
Aliun [14]

Answer:

Profit = $42,000

Explanation:

Given:

House price = $350,000

Additional price = $5,000

Garage value = $25,000

Selling price = $450,000

Selling cost = $28,000

Total cost of the Assets

Purchase Home                       $350,000

Add: Additional Purchase       $5,000

<u>Add: Purchase of Garage       $25,000</u>

Total cost of the Assets          $380,000

Profit = Sale Price - (Cost Price + Selling Cost)

Profit = $450,000 - ( $380,000 + $28,000)

Profit = $450,000 - $408,000

Profit = $42,000

6 0
3 years ago
Banks helped international trade by allowing merchants access to money in different locations. please select the best answer fro
Bogdan [553]

The Given Statement is TRUE. Banks helped international trade by allowing merchants access to money in different locations.

<h3>What is International Trade?</h3>

International Trade is the exchange of goods and services across international borders. It usually comes with additional risks caused by changes in exchange rates, government policies, laws, judicial systems, and financial markets.

International trade drives a country’s growth. Import-export figures are one of the top contributors to a country’s gross domestic product. Thus, every country tries to strengthen its global trade relationships with world leaders.

<h3>What is the role of the banks in International Trade?</h3>

Banks facilitate international trade by providing financing and guarantees to importers and exporters. While access to external funds is important for domestic production, it is especially important for exporting firms.

<h3>What did a Merchant do?</h3>

Merchants were those who bought and sold goods, while landowners who sold their own produce were not classed as merchants.

Thus, we can conclude that the above statement is TRUE.

Learn more about International Trade on:

brainly.com/question/15115779

#SPJ4

4 0
2 years ago
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