Answer
The answer and procedures of the exercise are attached in the following archives.
Explanation
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
Answer:
Coke Zero’s Brand Development Index in metro Atlanta is 2
Explanation:
Brand Development Index is a term which is used to identify the relationship between the total sales of a brand in a particular market and the total population of the market.
The formula for BDI is given below:
Coke Zero’s annual metro Atlanta sales = $7.5 million
The population of metropolitan Atlanta= 488,550
Total US sales = $2.5 billion.
The total population of the United States = 325.7 million
Answer:
a. $16.
Explanation:
the firm offer a price where marginal revenue = marginal cost
We have to solve at which quantity the price is $1.
There, the marginal revenue would match the marginal cost.
1 = 5 - 0.5q
q= (5 -1) /0.5 = 4/0.5 = 8
Now, we solve or the price at which quantity is zero:
p = 5 - 0.5(q) = 5 - 0 = 5
With that we can now solve for the consumer good as the area of the triangle above the marginal cost and below the demand function
(see attached graph)
8 x (5-1) / 2 = 16
