Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

Economics


Home >> Microeconomics

Ann McCutcheon is hired as a consultant to a firm producing ball bearings. This firm sells in two distinct markets, each of which is completely sealed off from the other. The demand curve for the firm's output in the first market is P1 =160 - 8Q1, where P1 is the price of the product and Q1 is the amount sold in the first market. The demand curve for the firm's output in the second market is P2 = 80 - 2Q2, where P2 is the price of the product and Q2 is the amount sold in the second market. The firm's marginal cost curve is 5 + Q, where Q is the firm's entire output (destined for either market). Managers ask Ann McCutcheon to suggest a pricing policy.

a. How many units of output should she tell managers to sell in the second market?

b. How many units of output should she tell managers to sell in the first market?

c. What price should managers charge in each market?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M9293263

Have any Question?


Related Questions in Microeconomics

Question - polyas four-step problem-solving process is a

Question - Polya's four-step problem-solving process is a general and systematic process for solving problems. Use this process to solve an application problem. Describe each step of the problem-solving process for the p ...

Question is social security a fair and equitable system why

Question: Is Social Security a fair and equitable system? Why or Why not? Describe how the Core Values can be applied in the use of Social Security. Should the Social Security system be replaced? If so, with what? The re ...

Question in august 2018 the us federal deficit topped 780

Question: In August 2018, the U.S. federal deficit topped $780 billion and the national debt grew to more than $21 trillion. (You can find real-time numbers for the deficit, debt, and much more at US Debt Clock.) The Con ...

Assignment - read the following fictional scenarioand write

Assignment - Read the following fictional scenarioand write a report that addresses the questions shown below: The managing director of a Belgian outdoor catering company has to decide whether or not to lease new capital ...

Question the total assets at the beginning of the year for

Question: The total assets at the beginning of the year for company XYZ was $60,000 and total liabilities of $40,000. During the year the business recorded $100,000 in revenues, $55,000 in expenses, and dividends of $10, ...

Question rules restrict how we interact with others and

Question: Rules restrict how we interact with others and, therefore, restrict our ability to engage in exchange. Given these are undesirable (from an economic standpoint), what benefits to rules provide us? What is the d ...

Question 1 draw a short run firm and industry competitive

Question: 1. Draw a short run firm and industry competitive equilibriums for a perfectly competitive gator farming industry before the number of alligators farms in Fl. doubled. For simplicity assume the gator farm is ea ...

Question suppose during some war in the future military

Question: Suppose during some war in the future, military expenditures increased by 3% of GDP. Describe optimal Fed policy under the following scenarios. (Hint: what happens to consumer and capital spending after the war ...

Question answer these three questions about early-stage

Question: Answer these three questions about early-stage corporate finance: a. Why do very small companies tend to raise money from private investors instead of through an IPO? b. Why do small, young companies often pref ...

Question research on how supervisors rate employees who

Question: Research on how supervisors rate employees who work under them has found that in some firms as many as 95 percent of all ratings are "good" or "outstanding." a. Is this necessarily evidence that supervisors are ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As

Follow Us

© Copyright 2013-14 mywordsolution.com All rights reserved