Case 1 - Executive Summary

A large company in the communication and publishing industry hs quantified the relationship between the price of one of its products and the demand for this product as Price = 160 -0.01 xDemand for an annual printing of this particular product. The foxed costs per year (ie. per printing) = $4T 000 and the variable cost per unit = $35. What is the maximum profit that can be achieved? What is the unit price at this point of optimal demand? Demand is not expected to be more than 7,000 units per year. The maximum profit that can be achieved is S. (Round to the nearest dolar.) The unit price at the point of optimal demand is S per unit (Round to the nearest cent)

A local manufacturer is in the process of introducing a new product to all of its retailers. The manufacturer has conducted a survey of consumers, as well as performed trial runs with selected retailers, and discovered the following information about demand for the new product at various price levels: Demand for New Product Quantity Demanded(Number of Units) Price per Unit ($) 300 15 250 25 200 35 150 45 100 55 50 65 0 75 The manufacturer has the following information about how many units they are willing to supply to each retailer at various price levels: Supply for New Product Quantity Supplied(Number of Units) Price per Unit ($) 0 7.50 50 22.50 100 37.50 150 52.50 200 67.50 250 82.50 300 97.50   At what quantity and price will both manufacturer and consumer find equilibrium? And what factors could affect the demand and supply for the new product? When using mathematical concepts to model demand and supply, what parameters must be…

Dataware is trying to determine whether to give a $10 rebate, cut the price $6, or have no price change on a software product. Currently, 40,000 units of the product are sold each week for $45 apiece. The variable cost ofthe product is $5. The most likely case appears to bethat a $10 rebate will increase sales 30%, and half of all people will claim the rebate. For the price cut, the most likely case is that sales will increase 20%.a. Given all other assumptions, what increase in sales from the rebate would make the rebate and price cut equally desirable?b. Dataware does not really know the increase in sales that will result from a rebate or price cut. However, the company is sure that the rebate will increase sales by between 15% and 40% and that the pricecut will increase sales by between 10% and 30%.Perform a sensitivity analysis that could be used to help determine Dataware’s best decision.

The market demand for the newest smartphone is 1 million units. The selling price for the LG phone is $400.00. The cost is $100 per unit. LG currently has market share of 10 percent. The marketing and sales expense is $5 million. Assume market demand grows by 20%. Given the 20% increase in market demand, LG maintains its market share of 10%, selling price of $400, unit cost of $100, and marketing and sales expense of $5 million. What is the new net marketing contribution (NMC)? O a. $36 million Ob. $31 million O. S7 million O d. $12 million

Firms in India are losing productivity because of Facebook. Office staff are spending too long on the social networking site. According to The Associated Chambers of Commerce and Industry (Assocham) employees use Orkut, Facebook, Myspace, and Linkedin for "romancing" and other purposes. On average, employees spend an hour a day on sites like Facebook. This reduces productivity by 12.5%. Nearly half of office employees accessed Facebook during work time. Some 83% saw nothing wrong in surfing at work during office hours. In September 2009 Portsmouth City Council in England banned staff from accessing Facebook on its computers when it was discovered that they spent, on average, 400 hours on the site every month.   Analyze the impact on a fall in productivity on costs.

Firms in India are losing productivity because of Facebook. Office staff are spending too long on the social networking site. According to The Associated Chambers of Commerce and Industry (Assocham) employees use Orkut, Facebook, Myspace, and Linkedin for "romancing" and other purposes. On average, employees spend an hour a day on sites like Facebook. This reduces productivity by 12.5%. Nearly half of office employees accessed Facebook during work time. Some 83% saw nothing wrong in surfing at work during office hours. In September 2009 Portsmouth City Council in England banned staff from accessing Facebook on its computers when it was discovered that they spent, on average, 400 hours on the site every month. Question What is meant by productivity? Analyze the impact on a fall in productivity on costs. Analyze the possible consequences for businesses in India of banning access to Facebook and other social networking sites. Do you think access should be denied?

King of HeartsThe King of Hearts, a neighborhood pub in a small midwestern town, is owned and operated by Mags Doherty. Since it opened in 2001, annual sales have increased from $200,000 to $500,000. She carries a wide selection of domestic and imported beers. She reports that 55% of her sales are derived from beer, 30 percent from mixed drinks, and the remainder from menu items such as sandwiches, French fries, and potato chips. Many customers have asked Mags to add pizza to her menu. She would have to spend $8,000 for an oven and $4000 for dishes. The ingredients in a typical pizza would cost $10.00 and the additional labor expense per pizza would be $0.80. The utilities involved in preparing each pizza would be $0.20. She would sell a pizza for $21.00.QuestionsWhat is her breakeven point in units and dollars? Show your calculations.  Assume she sells 100 pizzas a day. How long will it take her to break even? Show your calculations.

Firms in India are losing productivity because of Facebook. Office staff are spending too long on the social networking site. According to The Associated Chambers of Commerce and Industry (Assocham) employees use Orkut, Facebook, Myspace, and Linkedin for "romancing" and other purposes. On average, employees spend an hour a day on sites like Facebook. This reduces productivity by 12.5%. Nearly half of office employees accessed Facebook during work time. Some 83% saw nothing wrong in surfing at work during office hours. In September 2009 Portsmouth City Council in England banned staff from accessing Facebook on its computers when it was discovered that they spent, on average, 400 hours on the site every month. Analyze the possible consequences for businesses in India of banning access to Facebook and other social networking sites.

A U.S. emergency relief agency is considering sending a team of experts to another country to treat a severely contagious disease outbreak. Each team costs $100,000 for this one-week-long job. The agency estimates effectiveness as follows: 0 teams = 1000 deaths;1 team = 500 deaths;2 teams = 250 deaths,3 teams = 50 deaths;4 teams = 50 deaths Number of Teams Number of Deaths 0 1,000 1 500 2 250 3 50 4 50 If the Agency is considering sending 3 teams vs. 2 teams, what is the marginal cost (in dollar terms) of sending the third team? If saving a life is valued at $200,000 then the optimal number of teams to send is _____.

Seven years ago, you started a cross-town delivery service. You have two types of deliveryservices. You have a small parcel service for anything that is flat and measures less than 11x17. You have a package service using a 100 lb capacity bike trailer for anything weighting up to 10lbs. Initially, you charged the same price for each service, but since the beginning of the Covid19 pandemic you have seen an increased in the demand for your package service. The demand for the package services seems to be more inelastic than the demand for parcels. You are now wondering if you should charge different prices for the parcel and package service or should you segment the market and charge two different prices? Complete the tables below and determine the best price strategy: price the services differently in each segment; or continue the one price policy? Combined Parcels & PackagesPrice        Parcels and Packages         TR            MR             TC             MC              MR-MC…

The price for cigarettes sold by Big Tobacco Co Ltd was6.00 per packet in March 2018. During the month of March, the consumption of cigarettes was 1000 packets. However, the Board of Directors of Big Tobacco Co Ltd decided to increase the price by 25% during the month of April.  As a manager you noted that price elasticity of demand was 0.8. As a manager Big Tobacco Co Ltd:   Advise your management ofthe strategy that could be adopted by your firm to maintain sales.

FIVE. Which of the following is true about standard deviation?     The first step in calculating the standard deviation is calculating the square root.   The second step in calculating the standard deviation is to subtract each measurement from the intermediate value and then square that difference.   The last step in calculating the standard deviation is to sum the squared values and divide by the number of values minus one.   Standard deviation is a type of average where the positive and negative numbers sum to zero.   The amount of difference of the measurements from the central value is called the sample standard deviation.

To test the effectiveness of a two Web advertising agencies, you increase your ad purchase with agency A by 50% without changing your purchase through agency B. The referrals to your website from agency A increased by only 34% but the referrals from agency B fell by 21%. Why might the difference-in-difference estimate of the referrals per dollar through agency A be biased?

Alocal toy manufacturer is using a production line that runs 8 hours per day and produces a toy that requires a total of 7 tasks to be performed. The daily demand is 100 toysTimes of the tasks are 273, 2.01, 2.13, 2.0, 2.61, 2.71 and 2.95 minutes for A, B C, D, E , and Grespectively. However, due to the nature of the product there are precedence rules that must be observed. Such that Task A does not need any predecessors: task B requires task A to be completed. To start task Deach require task B to be completedTask must be completed prior to stating task E. Task F needs both task D and task E to be completed. Finally, task G can start only once task Fiscompleted.Given we apply the most remaining tasks rule for balancing the assembly line, with broken according to longest task time firstWhat will the estimated idle time in minutes for THIRD workstation?

Salim has recently signed a contract with an online movie streaming service. The contract specifies that Salim pays a monthly subscription fee of $10. Also, the contract gives Salim the advantage of watching the latest Video-on-Demand (VOD) movies at a discounted rate $3 per movie for the first 3 movies and $2 per movie for any additional movie beyond the three. During the month of February, Salim watched 8 VOD movies. What would be the total bill ($) for the month of February? O a. 25 O b. 29 O c. None of the given answers O d. 23 O e. 27 11:37 ere to search W A D A dx ENG 22-05-2021 hp 40 brt se delete home end 144 PAL - backspace num Aock V. BA home enter 41 51 pause レ t shift 11 end alt ctri

Jerry had been drinking all evening at the Bonger Bar and became visibly intoxicated. The bartender continued to serve him. Thereafter, Jerry left the Bonger Bar and, still visibly intoxicated, went to Gordon's Restaurant, where he had another drink. While driving home from Gordon's Jerry drove his car in the wrong lane and crashed head-on with another car. Both Jerry and the driver of the other car suffered serious injuries. Both sued Gordon's and Bonger Bar. Who is liable to whom?

A mobile provider has two types of deals. Currently the provider has 1 million customers, 65% of those have deal 2, and the rest have deal 1. A customer with deal 1, after in average 5 months, may either change the type of the deal (60% of cases) or leave the provider at all (the rest of cases). A customer with deal 2 may also leave the provider; it happens in average after 8 months of using deal 2. It is forbidden do change deal 2 to deal 1. Customers can make their decisions at any time. We assume also that those who left the provider do not return back. (i) Sketch the transition diagram and write down the generator matrix. (Keep time in months. Note that the state space here contains three states.)How many of the current customers are expected to have deals of type 2 in 6 months? (Round the answer to the nearest integer.)

City Condos Construction, CCC, obtained a loan to purchase city land for a premium condominium building. CCC paid a real estate analyst $100,000 to write a report on the market. The report stated-and CCC believes- that each condo will sell for $5 million and they will build 10 condos on each building floor. The city's condo market is competitive but limits condo towers to 6 floors only. Construction costs rise with the number of floors built. The construction costs are $5 million (or $5m) to build one floor, $20m for two floors, $45m for 3 floors, $80m for four floors, $125m for five floors, and $180m for six floors. (Notice these values are not per floor costs.) In addition to these costs, CCC pays $1m per year in interest on its loan which it cannot avoid and will pay overhead costs for construction of $5m per year which are incurred only when construction occurs. МС, АC, MR MC AC MR a $10 Condo Floors Given the cost and revenue information above, the numeric values for CCC's cost…

Question 9 A computer reseller needs to decide how many laptops to order next month. The lowest end laptop costs $220 and the retailer can sell these for $300. However, the laptop manufacturer already announced that they are coming out with a new model in a couple of months. Any laptops that will not be sold by the end of next month will have to be heavily discounted at half-price. The reseller also needs to consider that every time he fails to fulfill a laptop order, he stands to lose $25 for every unit. Based on the past months’ sales, the reseller estimates the demand probabilities for sales (S) as follows: P(0 units) = 0.3; P(1 units) = 0.4; P(2 units) = 0.2; P(3 units) =0.1. The reseller thinks it’s a good idea to conduct a survey on whether or not his customers are going to buy laptops and how many. The survey results will either be Yes (Y), No (N), or Don’t Know (DK). The probability estimates of the results based on the demand for the number of units are:  P(Y|S = 0 units) =…

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Ben Bates graduated from college six years ago with a finance undergraduate degree. Although he is satisfied with his current job, his goal is to become an investment banker. He feels that an MBA degree would allow him to achieve this goal. After examining schools, he has narrowed his choice to either Wilton University or Mount Perry College. Although internships are encouraged by both schools, to get class credit for the internship, no salary can be paid. Other than internships, neither school will allow its students to work while enrolled in its MBA program. Ben currently works at the money management firm of Dewey and Louis. His annual salary at the firm is $65,000 per year, and his salary is expected to increase at 3 percent per year until retirement. He is currently 28 years old and expects to work for 40 more years. His current job includes a fully paid health insurance plan, and his current average tax rate is 26 percent. Ben has a savings account with enough money to cover the…

Rail Tours, Inc., sells packaged tours on rail lines, including gourmet meals and a reserved bed. The most popular tours are in the autumn, when foliage colors are at their peak. The overnight package for Saturday and Sunday morning are especially heavily booked. A market survey firm has just completed a study in which they conclude that if the package cost is $200 per couple, then Rail Tours can expect to sell 400 spaces on a typical Saturday. If the price is raised to $225, then unit sales will drop to 390. If the price is raised further to $250, unit sales drop to 380. a) From the data given, write down the demand equation and determine its intercepts. Are there any precautions needed when operating at the extreme ends of the demand curve?b) The survey firm also reports that if per capita income changes, Rail Tours can expect a large change in bookings. In particular, if per capita income falls by 1%, then bookings will tend to fall by about 2%. Are tour packages a normal good?…

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Help me with 11. Please

Ahlia Co manufactures mobile phones. It has been extremely successful in the past, but the market has become extremely competitive. The company is considering a number of different strategies to improve its profitability. The most successful product is the Y99 which is sold for $110. Weekly demand is currently 20,000 phones, Market research has revealed that if Ahlia Co reduced the price of the Y99 by $10, demand would increase by 2,000 phones. The product has a constant variable cost per unit of $60. Instructions: 1.Determine the demand function. 2. Determine the output level to maximize profit. 3. Determine the price to be charged to maximize profit.