mg Assignment 3 X M (no subject) - teaganhealy16@ x + Upid-11408795-dt-content-rid-73879820 1/courses/MATH1064601202030/Problem%20Solving%20AS - SLD perdue owl SaaS.com Manag... Q Computer Science... Q 2223 MIS Intro to... VitalSource Problem Solving Assignment 3 In this assignment, we will work on solving the following Problem 1: Imagine you are the owner and the CEO of a small company manufac- turing specialty kayaks. You have designed a new kayak and are trying to analyze the costs, the revenues, the profits associated with the production and sales of this new product. You have determined that you will have to spend $150,000 on the new production line set-up and the advertising, and that after that it will cost you $400 to produce each kayak. You also conducted market research which showed that the demand equation for the new kayak is p+10g = 3000 where is the number of the kayaks that will be purchased at the price p dollars per kayak. You decided that you will always price the kayaks at the highest price at which all manufactured kayaks will be sold. Now, do the following further analysis 1) Express the company's costs that will be incurred in the production of the new kayak, the revenue R and the profit P from the sales of the kayak as functions of the quantity of these kayaks that are manufactured and sold 2) Determine what level(s) of production (the number of kayaks manufactured) will result in the company breaking even 3) Determine what level(s) of production will lead to the company making a large profit as possible; what is the maximum possible profit that the company can make by manufacturing and selling the new kayak? 4) Determine what level(s) of production will result in the company's revenue being as large as possible? mg Assignment 3 X M (no subject) - teaganhealy16@ x + Upid-11408795-dt-content-rid-73879820 1/courses/MATH1064601202030/Problem%20Solving%20AS - SLD perdue owl SaaS.com Manag... Q Computer Science... Q 2223 MIS Intro to... VitalSource Problem Solving Assignment 3 In this assignment, we will work on solving the following Problem 1: Imagine you are the owner and the CEO of a small company manufac- turing specialty kayaks. You have designed a new kayak and are trying to analyze the costs, the revenues, the profits associated with the production and sales of this new product. You have determined that you will have to spend $150,000 on the new production line set-up and the advertising, and that after that it will cost you $400 to produce each kayak. You also conducted market research which showed that the demand equation for the new kayak is p+10g = 3000 where is the number of the kayaks that will be purchased at the price p dollars per kayak. You decided that you will always price the kayaks at the highest price at which all manufactured kayaks will be sold. Now, do the following further analysis 1) Express the company's costs that will be incurred in the production of the new kayak, the revenue R and the profit P from the sales of the kayak as functions of the quantity of these kayaks that are manufactured and sold 2) Determine what level(s) of production (the number of kayaks manufactured) will result in the company breaking even 3) Determine what level(s) of production will lead to the company making a large profit as possible; what is the maximum possible profit that the company can make by manufacturing and selling the new kayak? 4) Determine what level(s) of production will result in the company's revenue being as large as possible
