- Can Anyone Assist Me With This One 1 (50.18 KiB) Viewed 10 times
can anyone assist me with this one?
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answerhappygod
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can anyone assist me with this one?
can anyone assist me with this one?
CASE STUDY 1 A company is planning to manufacture and market a new two-slice electric toaster. After conducting extensive market surveys, the research department provides the following estimates: a weekly demand of 200 toasters at a price of $16 per toaster and a weekly demand of 300 toasters at a price of $14 per toaster. The financial department estimates that weekly fixed costs will be $1,400 and variable costs (cost per unit) will be $4. a) Assume that the relationship between price p and demand x is linear. Use the research department's estimates to express p as a function of x and determine the domain of the function. b) Using your knowledge from Finite Math, determine the Revenue function in terms of x. c) Determine the Marginal Revenue at 2 different production levels for example 350 and 600 units. Interpret these results. (HINT: Consider what a positive or negative first derivative implies) d) Assume that the cost function is linear. Use the financial department's estimates to express the cost function in terms of x.
CASE STUDY 1 A company is planning to manufacture and market a new two-slice electric toaster. After conducting extensive market surveys, the research department provides the following estimates: a weekly demand of 200 toasters at a price of $16 per toaster and a weekly demand of 300 toasters at a price of $14 per toaster. The financial department estimates that weekly fixed costs will be $1,400 and variable costs (cost per unit) will be $4. a) Assume that the relationship between price p and demand x is linear. Use the research department's estimates to express p as a function of x and determine the domain of the function. b) Using your knowledge from Finite Math, determine the Revenue function in terms of x. c) Determine the Marginal Revenue at 2 different production levels for example 350 and 600 units. Interpret these results. (HINT: Consider what a positive or negative first derivative implies) d) Assume that the cost function is linear. Use the financial department's estimates to express the cost function in terms of x.