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nika2105 [10]
3 years ago
10

Globe Travel Agency sells Spring Break trips to University of Houston undergraduate students. The fixed cost of Globe is $100,00

0 and its variable cost is $400 for every student who takes the trip Globe offers. The price elasticity of demand is -2.5 at all levels of price. At present, the price of the trip is $600/student and, at this price, demand is 1200 units. Assume that the number of trips sold always equals demand.
Required:
Compute the breakeven quantity at current price, P =$600.
Business
1 answer:
Usimov [2.4K]3 years ago
5 0

Answer:

the breakeven quantity at current price is 500 units

Explanation:

The computation of the  breakeven quantity at current price is shown below:

Breakeven point = Fixed cost ÷ (Price per unit - variable cost per unit)

= $100,000 ÷ ($600 - $400)

 = 500 units

Hence, the breakeven quantity at current price is 500 units

We simply used the above formula so that the correct units could arrive

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Slav-nsk [51]

Answer:

third-degree price discrimination

Explanation:

Third - degree price discrimination -  

It refers to the practice of discrimination , i.e. , unfair treatment , where people tends to ask for different price for the same goods and services , is referred to as third - degree price discrimination.  

The discrimination can be on the basis of time , location , age , gender etc.

This type of discrimination is very common observed in the day to day activities .  

Hence , from the given scenario of the question,  

The correct term is Third - degree price discrimination .

4 0
3 years ago
Suppose the yield on short-term government securities (perceived to be risk-free) is about 4%. Suppose also that the expected re
evablogger [386]

Answer: Expected Return = 12%

Explanation:

Yield on short-term government securities = 4%

The expected return required by the market for a portfolio with a beta of 1 = 12%

Now, according to the capital asset pricing model:

Expected Return = Risk-free rate + Beta × (expected return on the market - risk-free rate)

= 4 + 1 (12 - 4)

= 12%

∴ The  expected return on the market portfolio is 12%.

3 0
3 years ago
Drivers of the growth of international acquisitions include all of the following except:_________.
Otrada [13]

Answer:

the desire to develop all of the required resources internally.

Explanation:

5 0
3 years ago
What is generally the difference between blue-collar workers and white-collar workers?
gayaneshka [121]
White-collar<span> work is performed in an office, cubicle, or other administrative setting.  </span>blue-collar workers<span>, whose job requires manual labors </span>
7 0
3 years ago
The purpose of a PERT network is: to monitor the quality of a product for compliance with ISO 9000 standards. to monitor the pro
aliina [53]

Answer:

The correct answer is the second option: to monitor the progress of a multi-step project during its development.

Explanation:

To begin with, a <em>"Program Evaluation and Reviews Techniques"</em> or PERT as it name indicates it refers to an stadistic technique by which the companies can follow the process of certain projects that they are having currently. Moreover, its main purpose is to manage and analyze the steps that a project has in order to make them less susceptible to errors. In addition to that, its main factor to observe is the time during the steps of the project. Nowadays is very common to use a tool like this in major companies.

4 0
3 years ago
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