The XYZ company is a producer of dishwashers. The company’s marketing department has estimated the following demand curve for the company’s best-selling model in one of its regions. Q = 2000-4P+6A+5l+5Pc – 4Ac Where Q = Number of dishwashers demanded P = $600; Price of dishwashers A = $150; Advertising expenditures (thousands) I = $50; GDP per capita (thousands) PC = $500; Competitor’s price AC = $200; Competitor’s advertising expenditures (thousands) a. Calculate the amount demanded for this product using the information given above. b. Plot the demand curve with P on the vertical axis and Q on the horizontal axis. c. Calculate the price to sell 3450 units. d. What would be the effect on the sales of dishwashers if the competitor reduces price by $50? What should be the change in P to offset the decrease in PC ? e. In response to competitor’s strategy of reducing PC , what else can the company do to keep sales at the same level if it does not want to change P ? (Base your answer on the information given above.) f. If the government increases the sales tax by 1 percent, what will be the sale price of dishwashers after the tax (assume that the elasticity of demand is equal to the elasticity of supply in absolute value).
I hope this helps!!
In the given scenario above, Jay is least likely to exhibit informational
influence if in the experiment, the quality of a series of sculptures are only
shown for a few seconds in which Jay won’t be able to examine the sculpture
more clearly as it is only for a short period of time.
Andreas likes basketball more than science
1st one is : "Specialization"
2nd one is : "Scarcity"
3rd one is : "Cottage Industry"
4th one is : "Assembly line"
5th one is : "Mass Production"
6th one is : "Unskilled labor"
Hope this helps! :D
