Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

Economics


Home >> Microeconomics

Suppose a firm faces the following demand for their product: P=100-Q. Further assume that the marginal cost to produce the product is $10 and that the fixed costs are $15. The firm is thinking of implementing the following pricing technique: sell as much as it can at a price of $40 then decrease the price to $25 and sell as much as it can.

How many units in total is it going to sell under this scheme?
How much profit is the firm going to make under this scheme?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M939100

Have any Question?


Related Questions in Microeconomics

Question short essay requiredjoseph stieglitz nobel

Question: Short Essay required Joseph Stieglitz, Nobel Laureate in Economics, has argued that the US should pay for higher education from the general tax coffers. Thus, he proposes a free for citizens higher education th ...

Question according to some reports more than 40 percent of

Question: According to some reports, more than 40 percent of the American servicemen sent to Vietnam experimented with heroin. Of these, 57 percent became addicts in Vietnam. Upon their return, however, only 10 percent r ...

Question a monopoly has costs described by tcq60008q demand

Question: A monopoly has costs described by TC(Q)=6000+8Q. Demand is described by P=60-0.1Q. What is the monopolist's profit-maximizing price (P)? The response must be typed, single spaced, must be in times new roman fon ...

Question in a perfectly competitive market demand is qd 32

Question: In a perfectly competitive market, demand is QD = 32 - 1.5P and supply is QS = -20 + 2.5P. Find equilibrium price and quantity and producer and consumer benefits. Say an innovation then lowers every seller's ma ...

Question 2a suppose that a restaurant offering ethiopian

Question: 2a) Suppose that a restaurant offering Ethiopian cuisine opened in Cambridge Ma. and became a great success. What would you predict would happen in the greater Boston restaurant market? 2b) Draw a graph illustr ...

Question there are five horseracing tracks in kentucky the

Question: There are five horseracing tracks in Kentucky. The Kentucky legislature allows only one track to be open at a time. a. How will it affect the elasticity of demand for horse racing tickets? b. How does this rest ...

Question labor relationswrite a 4-5 page paper answering

Question: Labor Relations Write a 4-5 page paper answering the following questions: • What are the benefits of retaining qualified employees? • Explain the benefits of unionizing • How is labor relations used to establis ...

Question - please recall one example from your life where

Question - Please recall one example from your life where you bought a product that you did not really need and you regretted after the purchase. What motivated you to buy the product? Why did you regret? Your discussion ...

Question many governments around the world have implemented

Question: Many governments around the world have implemented heavy taxes on cigarettes and other tobacco products in order to reduce the number of smokers. You are required to write an essay to critically evaluate the ef ...

Question as king of medivaliayou are constantly strapped

Question: As king of Medivalia,you are constantly strapped for funds to pay your army.Your chief economic wizard suggests the following plan:"When you collect your tax payments from your subjects,insist on being paid in ...

  • 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