A monopoly is considering selling several units of a homogeneous product as a single package. A typical consumer's demand for the product is Qd = 70 -0.25P, and the marginal cost of production is $100. a. Determine the optimal number of units to put in a package b. How much should the firm charge for this package?

Q: 1. Based on the interest rates and cash flows shown in the cash flow diagram, determine the value of…

A: Solution- Given- Interest rate= 10% Future Value of cash flows:- = $150000 * (1.03) * (1.03) *…

Q: The use of knowledge to improve productivity and enhance economic growth is known as Group of answer…

A: The process by which the economy's final commodities and services increase is known as economic…

Q: For the past several decades in the United States, government purchases have accounted for about…

A: GROSS DOMESTIC PRODUCT Gross domestic product (GDP) is the accepted unit of analysis for the value…

Q: Draw the short run marginal cost curve for a firm with eventually diminishing marginal product.…

A: The marginal cost indicates the increase in total cost due to additional unit of output being…

Q: Spring is here, and Shen and his brother would like to go. fishing for the weekend in New Hampshire.…

A: Private goods are rival in consumption and excludable whereas public goods are non rival as well as…

Q: Describe the natural rate of unemployment

A: Unemployment is a chronic problem which occurs when some workers are unable to get jobs in the…

Q: Both airlines and supermarkets offer customer loyalty programs. However, airline frequent flyer…

A: Since you have posted multiple subparts, as per the guidelines we can solve only first 3 subparts…

Q: You are going to save $200 each month for three years so that you can put a down payment on a new…

A: Future value is the value of deposit or investment at the end of planning horizon.    Present value…

Q: Over the last decade prices in the US for insulin has more than tripled , and is more than ten times…

A: In economics, market structure illustrates how businesses are categorised and differentiated…

Q: Consider the average annual growth rate 5.93% of 2000-2005, and forecast the population in Abu Dhabi…

A: Year Abu Dabi       Nationals Non-nationals Total 1980 90792 361056 451848 1985 135982 430054…

Q: In the following table, which contains the demand schedule for a monopolist, enter the total revenue…

A: Introduction Total revenue can be considered as the total earnings incurred by a firm after the sale…

Q: What is the future worth of the following series of payments? a) $30,000 at the end of each…

A: The future value of an investment is significant to both financial planners and investors, as…

Q: Ques 2. The domestic demand for wheat is 2DD=1000-25P, and the export demand is 2DE = 500-25P. Draw…

A: Note: “Since you have asked multiple questions, we will solve the first question for you. If you…

Q: and hence so the substitution effect is h₁ (p, u) = = Ә др1 -e(p, u) Əh₁ 3 дрг 4 = = 3 2 2 = 4 V 3³…

A: The total price effect is equal to the substitution effect minus the income effect. Here we used the…

Q: A Store makes a $10,500 investment at a Bank Ltd on January 1, 2019. At the end of December 31,…

A: Compound Interest refers to interest on interest. In simple words compound interest is the interest…

Q: Bob le Flambeur is offered a raffle ticket. With probability p, the raffle ticket wins, and pays 5…

A:

Q: What is the concept of an ecological dish and give an example

A: Ecology is the study of the relationships between living organisms, including humans, and their…

Q: Suppose that at present total currency in the Philippine economy is presently PHP5.5 trillion, total…

A: Given  The currency in circulation in the Philippine economy (C) is Php 5.5 trillion. The total…

Q: Consider a weather forecaster who is paid based on her performance. Each day, she forecasts the…

A: The act of forecasting requires coming up with forecasts that are based on both past and present…

Q: Economic growth is the process of Group of answer choices All of the above producing more…

A: In an economy, people make economic activities by exchanging products, services and other assets…

Q: The populations of Abu Dhabi (National, Non-National, and Total) and UAE are shown in the following…

A: Annual growth rate is the percentage increase in the population in the current year over the…

Q: Suppose a firm has an average cost function given by AC = 20q - 10+ Determine the output that will…

A: Cost function determines the functional relationship among the cost and output. Average cost (AC)…

Q: A decision-maker with initial wealth w faces a probability of incurring a loss. If the loss occurs,…

A: The propensity to shun risk is called risk aversion. The investor who favors capital preservation…

Q: Arnie has $20 per week to spend on any combination of pineapples and green tea. The price of a…

A: Marginal utility is the enjoyment a consumer gets from each extra unit of consumption. It computes…

Q: Which of the following did not result in economic growth? Group of answer choices Installing a…

A: economic growth is the consistent rise in gDP over period of time. It increases the size of economy.…

Q: Consider the following policies, each of which is aimed at reducing violent crime by  reducing the…

A: Demand and supply in the market are the main determinants that decide the price and quantity of…

Q: Q3/ Suppose that the price elasticity of demand for a packet of candy is -2.3 and the price…

A: The ratio of the percentage change in a product's quantity demanded to the percentage change in…

Q: fer to the information provided in Figure 1 below. Technological progress will cause a   Group of…

A: We have given three production possibility frontier: ppf1, ppf2, and ppf3. The ppf1 lies below the…

Q: The estimated capital investment and the annual expenses) for four alternative designs of a…

A: Given, MARR = 10% Study Period = 5 years

Q: Carefully explain what is happening in the market for a regular cup of coffee. Indicate the impact…

A: Market demand for a commodity can change as a result of a change in consumers income, their tastes…

Q: he aggregate production function is Y = 5KL. If there are 18 units of capital and 50 units of labor,…

A: The production function refers to the function that shows the relationship between the inputs used…

Q: f. Calculate the revenue before the price drop. Calculate the revenue after the price drop Is the…

A: Firms use the price elasticity of demand to modify their demand elasticity. If the demand for the…

Q: table below shows cost data for producing different amounts of saucepans. Suppo the information in…

A: The marginal revenue is the change in the total revenue when the one additional unit of output is…

Q: 3 A Cost Function A firm's cost function is: c(w₁, w2, y) = y²w₁5 w;5 a. What type of returns to…

A: The given cost function which is a function of input prices and the output is the minimum level of…

Q: Use a banker's year described above to answer this question. To complete the sale of a house, the…

A:

Q: please  only do: if you can teach explain steps     How does pb compare to the lowest price ps at…

A: Utility Function = U = ln(x+1) Wealth = 4 Probability of winning is 1/2

Q: A study at a college on the west coast reveals that, historically, 36% of the students are minority…

A:

Q: Define positive and negative discounting and give examples of each

A: Interest rates decide whether or not a loan will be returned in whole or in excess of the original…

Q: Which consumer model best matches the irrational consumer of the 1950s? a. Pavlovian model b. Homo…

A: CONSUMER MODEL  Consumer theory seems to be the investigation of how individuals make financial…

Q: Refer to Figure 12-3. Suppose that government spending increases, shifting up the aggregate…

A: In economy, Price level is determined by the market forces Aggregate demand and supply. when AD=AS…

Q: Describe some government intervention in the economy with the intent of controlling prices. Identify…

A: Government intervention is defined as any action taken by the government that affects the market…

Q: Why is economics often described as the science of constrained choice?

A: The economics is the science which deals with the allocation of these limited resources to satisfy…

Q: What is efficiency in economics?

A: Economics refers the transactions of various products goods and their services, thus these goods and…

Q: The table below shows cost data for producing different amounts of saucepans. Suppose this market is…

A: Total revenue is the product of price and quantity.

Q: A consumer is observed choosing the bundle (3, 1) at prices (1, 2) and the bundle (2, 2) at prices…

A: Revealed preference is the preference which the consumer shows after he have purchased products in…

Q: Whether one regards inflation as a “good” thing or a “bad” thing depends very much on one’s economic…

A: In economic matters, inflation is general inflation in the costs of goods and services in an…

Q: Spirit Of New York Cruise line offers nightly dinner cruises departing from Manhattan or Lincoln…

A: The difference between the selling price and the variable cost per unit is the contribution margin…

Q: nswer the question, using the 3 step approach? 9. Forecast the effects of changing market…

A: A general deceleration in economic activity that persists over a considerable amount of time is…

Q: Market: French Fries The equilibrium price has decreased and the equilibrium quantity is the same.…

A: Equilibrium refers to the point where quantity demand is equal to quantity supply

Q: NDMA WISHES TO PROVIDE P40,000.00 TO YOUR YOUNGEST BROTHER ON HIS 21st BIRTHDAY. HOW MUCH SHOULD SHE…

A: FV = 40,000 r = 6% yearly i.e. 3% monthly n = 35.5 months