Last week wallys burgers inc reduced the average price on, Ask an Expert

Economics

Last week, Wally's Burgers, Inc. reduced the average price on the ½-pound Papa burger by 1%.In response, sales jumped by 2%.

A.) Calculated the point price elasticity of demand for Papa burgers.

B.) Calculate the optimal price for Papa burgers if marginal cost is $1 per unit.

The following relations describe demand and supply conditions in the lumber/forest products industry:

Qd= 75,000-10,000P (Demand)

Qd=-15,000+50,000P (Supply)

Where Q is quantity measured in thousands of board feet (one square foot lumber, one inch thick) and P is price in dollars.

A. Complete the following table:

Price (1)	Quantity Supplied (2)	Quantity Demanded (3)	Surplus (+) or Shortage (-) (4)=(2)-(3)
$ 3.00
2.50
2.00
1.50
1.00

B.)What is the price and quantity in equilibrium?

View complete question

Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M9743552

Have any Question?Write your Review or question?

Related Questions in Microeconomics

Question please select three of the spirit values and

Question: Please select three of the S.P.I.R.I.T values and describe an event(s) from your professional, academic or work life that demonstrates you exhibiting the value. Conclude the essay by stating how your abilities ...

Question in the case of the diamond duplicative mineshafts

Question: In the case of the diamond, duplicative mineshafts were a waste of economic resources, and the law makes them unprofitable. Instead of a diamond, what if a number of independent inventors are racing to be the f ...

Question under what conditions would you expect the recent

Question: Under what conditions would you expect the recent rapid growth rates in the Indian subcontinent and south Asia to continue, and under what conditions are they likely to diminish in the near future? The response ...

Question consider the industry in which you work or one

Question: Consider the industry in which you work, or one about which you have some knowledge. What are the costs and benefits associated with attempting to bar entry of other firms into this industry? How would a firm e ...

Question draw a circular flow model showing how specific

Question: Draw a circular flow model showing how specific resources are exchanged in EACH of two scenarios below: 1) Microeconomic Scenario: show how the Circular Flow model works in your personal life. You are the House ...

Question 1 suppose janet sells papayas at a perfectly

Question: 1. Suppose Janet sells papayas at a perfectly competitive market in Thailand. While her average total cost (ATC) reaches a minimum level of $3, her minimum average variable cost (AVC) is $2. a. At what price wi ...

Question it is hot day and bert is thirsty here is the

Question: It is hot day, and Bert is thirsty, here is the value he places on a bottle of water: Value of first bottle $7 Value of second bottle $5 Value of third bottle $3 Value of fourth bottle $1 a) From this informati ...

Question in emerging markets such as india consumers shop

Question: In emerging markets such as India, consumers shop far more frequently than in most Western countries, often daily. As a result, consumers there have many more chances to switch brands. What does this buying beh ...

Question there are two firms with the following marginal

Question: There are two firms with the following marginal abatement curves: MAC 1 (E 1 )=50-E 1 /4; MAC 2 (E 2 )=75-E 2 /2. Marginal damages as a function of total emissions is MD(E T )=E T /3. (a) Derive the aggregate M ...

Question suppose you are a supply-side economist who is an

Question: Suppose you are a supply-side economist who is an advisor to the president. If the economy is in recession, what would your fiscal policy prescription be? The response must be typed, single spaced, must be in t ...

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

Recent Questions

Ask Microeconomics Expert