Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

2.Use Excel solver to find the optimal price which maximizes the companys profit. By analysing historical data for a headphone sale company, it can be

image text in transcribed

2.Use Excel solver to find the optimal price which maximizes the companys profit.

By analysing historical data for a headphone sale company, it can be seen that the sale volume has been changed according to its price in different periods. The values have been reported in the following table. This company is going to launch a new headphone and the price needs to be decided based on the market analysis. Determine the appropriate price for the newly developed headphone with the aim of maximizing the company's profit. The demand for the newly developed product has a direct relationship to its price. Table 1- Demands of headphone based on a price level according to previous experiences The main objective of the company is to maximize profit regarding the new product. It is assumed that the unit production and supply cost of each headphone is 45, so the profit of each unit will be (the sale price - unit production cost)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Strategic Project Management Made Simple

Authors: Terry Schmidt

1st Edition

0470411589, 978-0470411582

More Books

Students also viewed these General Management questions

Question

=+ (a) Show that A,(i) is trifling.

Answered: 1 week ago