Current Attempt in rrogress Sweet shucks and packs oysters and sells them on a wholesale basis to fine restaurants across the province. The income statement for last year follows: Pickers, shuckers, and packers are employed on an hourly basis and can be laid off whenever necessary. Salespeople merely deliver the product and so are paid on a salaried basis. Linda Hanson, manager of Sweet, believes that a price increase of 10% would result in a 15% decrease in sales. The Rake and Tongs Restaurant is providing dinner for a meeting of the Pickers, Shuckers, and Packers Union in Prince Edward Island. Rake and Tongs offered to pay Sweet $70 a case for 300 cases of oysters. This sale would not affect Sweet's regular sales. Pickers, shuckers, and packers are employed on an hourly basis and can be laid off whenever necessary. Salespeople merely deliver the product and so are paid on a salaried basis. Linda Hanson, manager of Sweet, believes that a price increase of 10% would result in a 15% decrease in sales. The Rake and Tongs Restaurant is providing dinner for a meeting of the Pickers, Shuckers, and Packers Union in Prince Edward Island. Rake and Tongs offered to pay Sweet $70 a case for 300 cases of oysters. This sale would not affect Sweet's regular sales. (a) Ignoring the Rake and Tongs offer, estimate the profit-maximizing price for Sweet. (Round entry to whole amounts, eg. 5725 . Round elasticity to 3 decimal places, e.g. 1.525 for your calculations.) Current Attempt in rrogress Sweet shucks and packs oysters and sells them on a wholesale basis to fine restaurants across the province. The income statement for last year follows: Pickers, shuckers, and packers are employed on an hourly basis and can be laid off whenever necessary. Salespeople merely deliver the product and so are paid on a salaried basis. Linda Hanson, manager of Sweet, believes that a price increase of 10% would result in a 15% decrease in sales. The Rake and Tongs Restaurant is providing dinner for a meeting of the Pickers, Shuckers, and Packers Union in Prince Edward Island. Rake and Tongs offered to pay Sweet $70 a case for 300 cases of oysters. This sale would not affect Sweet's regular sales. Pickers, shuckers, and packers are employed on an hourly basis and can be laid off whenever necessary. Salespeople merely deliver the product and so are paid on a salaried basis. Linda Hanson, manager of Sweet, believes that a price increase of 10% would result in a 15% decrease in sales. The Rake and Tongs Restaurant is providing dinner for a meeting of the Pickers, Shuckers, and Packers Union in Prince Edward Island. Rake and Tongs offered to pay Sweet $70 a case for 300 cases of oysters. This sale would not affect Sweet's regular sales. (a) Ignoring the Rake and Tongs offer, estimate the profit-maximizing price for Sweet. (Round entry to whole amounts, eg. 5725 . Round elasticity to 3 decimal places, e.g. 1.525 for your calculations.)
