What happens when demand for a good increases but its supply decreases?

Janelle Heinke, the owner of Ha'Peppas!, is considering a new oven in which to bake the firm's signature dish, vegetarian pizza.

NikAS [45]

Answer:

a) Oven A = 1,667; Oven B = 2,353 pizzas.

b) Oven A

c) Oven A

d) 13,334 pizzas

Explanation:

Since nothing was mentioned regarding her time availability, the capacity of each oven will not be taken into account.

The income equation for ovens A and B, respectively, are:

$A=(14-2)x-20,000\\B=(14-1.25)x-30,000$

Where 'x' is the number of pizzas sold.

a) The break-even occurs when income is zero:

$A=0=(14-2)x-20,000\\x_A=1,666.66\\B=(14-1.25)x-30,000\\x_B=2,352.94$

Rounding up to the next whole pizza, the break-even for oven A is 1,667 pizzas and for oven B it is 2,353 pizzas.

b) For x = 9,000:

$A=(14-2)*9,000-20,000\\A=\$88,000\\B=(14-1.25)*9,000-30,000\\B=\$84,750$

Income is greater with oven A, so Janelle should use oven A.

c) For x = 12,000

$A=(14-2)*12,000-20,000\\A=\$124,000\\B=(14-1.25)*12,000-30,000\\B=\$123,000$

Income is greater with oven A, so Janelle should use oven A.

d) She should switch ovens at the value for 'x' that causes B to be greater than A:

$A$

Rounding up to the next whole pizza, she should switch ovens at a volume of 13,334 pizzas.

7 0

3 years ago

Timothy was tasked with creating the budget for the next fiscal year. He had to create a cost-profit analysis report of all the

nlexa [21]

The position held by Timothy within his company is FINANCE MANAGER because in summary, his duty was to produce financial reports (he had to create a cost-profit analysis report of all the current product lines of the company), direct investment activities (he was tasked with creating the budget for the next fiscal year), and develop strategies and plans for the long-term financial goals of their organization (He also had to identify avenues for possible cost reduction in the budget).

3 0

3 years ago

Tri Fecta, a partnership, had revenues of $362,000 in its first year of operations. The partnership has not collected on $46,400

OverLord2011 [107]

Answer: $185,500

Explanation:

Total cash received = Sales revenue - Accounts receivable + owner's investment + amount borrowed

= $362,000 - $46,400 + $42,000 + $30,000

= $387,600

Total cash disbursement = Merchandise purchased - Accounts payable + Salaries + Interest + Insurance

= $200,000 - $38,600 + $28,100 + $2,700 + $9,900

= $202,100

Ending cash balance = Total cash received - Total cash disbursement

= $387,600 - $202,100

= $185,500

8 0

3 years ago

What is the unemployment rate if the GDP gap is 13.5%?

goldenfox [79]

The answer is: 6.25%

3 0

3 years ago

What item flows from the income statement to the statement of retained earnings?.

Reil [10]

Net Income flows from the income statement to the statement of retained earnings.

The balance sheet is balanced when net income from the income statement, less any dividends paid, is transferred to the retained earnings column. Additional connections- Long-term debt on the balance sheet is used to determine interest expenditure on the income statement.

Net income: In commerce, Net Income is the amount of cash left over on balance costs, like salaries and wages, the value of commodities or raw materials, and taxes, are paid. Net Profit is the amount that an individual keeps after paying taxes, insurance premiums, and retirement contributions.

Net Income.

To learn more about the question, please visit the following link:

brainly.com/question/14531265

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5 0

1 year ago