could you check my assessment pleas e I have added the question sheet

Question 1 Impact of changing price upon revenue and profit A factory worker makes teddy bears. Each teddy bear requires two (2) eyes, internal 'stuffing', an external body covering and four (4) paw pads. The worker uses three types of body covering - calico, corduroy and velvet. Once the teddy bears are assembled, they are distributed to toy shops for sale. Teddy bears are assembled and sold as follows; Calico Corduroy Velvet Cost of body covering $11.50 $18.50 $24.50 Cost of eyes (individually) $2.50 $2.65 $2.75 Cost of internal 'stuffing' $6.00 $6.00 $6.00 Cost of paw pads (per pair) $1.85 $2.90 $3.60 Sale price range $30 - $36 $40 - $48 $45 - $55 Regardless of the materials used to make each teddy bear, there are fixed production costs of $180. Your task is to investigate the cost, revenue and profit associated with each type of teddy bear. Steps to complete to undertake the investigation 1. Find the total cost and total revenue functions for each type of teddy bear and plot these functions on an Excel graph (i.e. you will produce 3 graphs, each with two lines on it). For the revenue function, select a price for each teddy bear type within the price ranges in the table above. 2. Confirm the points of intersection between the cost and revenue function lines using algebra. Express your final results in co-ordinate point form: (Quantity value, Revenue value) 3. Profit will also differ for each type of teddy bear. Find the profit functions and the break-even quantity for each type. 4. Summarise your findings in 200 words. In your conclusion: a. Explain the meaning and significance of any points of intersection noted from steps 1 and 2 and any similarities noted from you results in step 3. b. Discuss any differences in profitability between each type of teddy bear (for example, which teddy bear would be easiest to make a profit from?) c. Note any assumptions you have made and any limitations of your findings.Question 2 Impact of price discount on revenue A vineyard produces a range of premium white wines. One particular year, the growing conditions for white wine grapes are particularly good, leading to excessive white wine production above what would normally be expected. As warehouses and bottle shops which store and then sell this particular wine have limited capacity, the vineyard needs to clear this excess stock and does so by reducing the average price of each bottle of wine by $9 per bottle. Your task is to determine the consequences of the $9 price reduction. The supply and demand equations are given by Demand Equation: 39 = 144 llaq Supply Equation: p = 0.0000251;2 + 6bq + 25 where q is the number of customers (in hundreds per year) ; p is the price of a bottle in dollars. a and b are coefcients to be chosen below. Steps to complete to undertake the investigation 1. Obtain two random numbers for a and 5 between 0.1 and 0.9 inclusive. Use the Excel random function =Rand() or the RANDOM key on your calculator. Find the equilibrium price and quantity algebraically, without the price decrease. Update the demand equation to include the $9 price decrease. Use algebra to nd the new equilibrium price and quantity. Use Excel to graph on the same set of axes, the original supply and demand equations (om part 1) and the updated demand equation with the proposed price decrease (part 3) Use your results to complete the following summary table. Round answers to two decimal placesL except for total revenue amounts which round to 0 decimal places E-"PP'!" 9" Before price reduction After price reduction Difference Equilibrium price: consumer a s Equilibrium price: vineyard would charge without any price reduction Revenue vineyard would receive without any price reduction Revenue vineyard receives with the price LEAVE THIS CELL BLANK reduction 7. Summarise your ndings in 300 words. In your conclusiom a. Discuss the effect of the surcharge on price, quantity and revenue b. Provide a recommendation to the vineyard on whether to proceed with the price decrease or not c. Note any assumptions you have made and any limitations of your ndings. Question 1 1. 1) Total Variable Cost The variable cost per teddy bears of Calico is Total variable costcalico = $11.5 + $2.5 x 2 + $6 + $1.85 x 4 = $29.9 Total Cost According to the question, the unit variable cost is $29.90 and the fixed cost is $180. The number of teddy bears is q and the total cost is Total costCalico = fixed cost + variable cost = 29.9q + 180 Total Revenue Choice the average selling price is $30 + $36 Average selling price Calico = 2 = $33 Total revenue = Sale price x the number of Bears Total RevenueCalico =33q Figure 1. Calico teddy bear total cost and total revenue function Cost and Revenue functions for Calico 20 00 1950 6at9 00 1850 1 8 00 3750 9700 16 50 1600 48 50 52 54 56 58 60 62 Quantity (units sold) -TR -TC2) Total Variable Cost The cost per teddy bears of Corduroy is Total variable costcorduroyco = $18.5 + $2.65 x 2 + $6 + $2.9 x 4 = 41.40$ Total Cost According to the question, the unit variable cost is $41.4 and the fixed cost is $180. The number of teddy bears is q and the total cost is Total costcorduroyco = fixed cost + variable cost = 41.4q + 180 Total Revenue Choice the average selling price is $40 + $48 Average selling pricecorduroy = 2 = $44 Total revenuecorduroy = Sale price X the number of Bears Total Revenue Corduroy =44q Figure 2. Corduroy teddy bear total cost and total revenue function Cost and Revenue functions for Corduroy 32 00 3150 3100 30 50 30 00 Cost or revenue ($) 2950 Vertical (Value) Axis Title 28 00 27 50 27 00 60 62 64 66 68 70 72 74 Quantity (units sold) -TR -TC 3) Total Variable Cost The cost per teddy bears of Velvet is Total variable costvelvet = $24.50 + $2.75 x 2 + $6 + $3.60 x 4 = 50.4$Total Cost According to the question, the unit variable cost is $50.4 and the fixed cost is $180. The number of teddy bears is q and the total cost is Total costvelvet = fixed cost + variable cost = 50.4q + 180 Total Revenue Choice the Velvet selling price is $55. Total revenuevelvet = Sale price x the number of Bears Total Revenuevelvet =55q Figure 3. Velvet teddy bear total cost and total revenue function Cost and Revenue functions for Velvet 23 00 22 50 22 00 21 50 21 00 Cost or revenue 2050 20 00 1950 1900 34 35 36 37 38 39 40 41 42 Quantity (units sold) -TR -TC 2&3 Intersection between the total cost and total revenue (The break- even point) When there is an intersection between two lines, it means TC = TR. Meanwhile, profit = TR-TC = 0, which is the break-even point. TCCalico = TR Calico 29.9q + 180 = 33q 3.1q = 180 q = 58.06 29.9 x 58.06 + 180 = 33 x 58.06 =1915.98 For Calico, the break-even point is (58.06, 1915.98)TCCorduroy = TRCorduroy 41.4q + 180 = 44q 2.1q = 180 q = 69.23 41.4 X 69.23 + 180 = 4-4- x 69.23 = 3046.12 For Corduroy, the break-even point is (69.23, 3046.12) TCVelvet = TRVelvet 50.41:] + 130 = 55q 4.6q = 180 q = 39.13 50.4 x 39.13 + 180 = 55 x 39.13 = 2152.15 For Velvet, the break-even point is (39.13, 2152.15) 4. Summary The total revenue and cost function diagrams of three kinds of teddy bears are made through the title table data and an Excel chart. When TR = TC. the intersection of the two lines is the break-even point; when the sales quantity q of the three teddy bears is greater than q required for the break- even point, and TR is greater than TC, the factory can make prots. If the sales volume is lower than this quantity q, the factory will lose money. For example, Calico teddy bear, the factory will not make a loss after selling 58 teddy bears; Corduroy teddy bear, the factory will start to make prots after selling 69 teddy bears; For Velvet teddy bears, the factory needs to sell 39 without losing money. These data can be obtained intuitively in an Excel chart. At the same time, to obtain the data and the corresponding equation relationship, assumptions are made in the calculation process, and algebraic confirmation is carried out through the equation. These measures include: ensuring that the fixed cost of the overall production of teddy bears remains $180; The price setting is obtained within the sales price range. Question 2 1. Assume a = 0.5. b = 0.4. 2. Substituting the values of a. b into the equation gives the following equation. Demand Equation: p=144-5.5q Supply Equation: p=0.000025q2+2.4q+25 Find the equilibrium price and quantity algebraically, then you need to make the two equations equal. That is: 144-5.5q=0.000025q2+2.4q+25=0 0.000025q2+7.9q-119=0 7.9i.f7.95-4xn.nnnnzs > $103501.8 This means that saplings can continue to drop in price. c. Assumptions and limitations 1. Based on the influence of similar products in the market on the price and sales volume of the product. 2. How should the quantity of sales and production be balanced. 3. Other costs of products in the process of holding