Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

. Revenue Max. Desktop Publishing Software Inc. develops and markets software packages for business computers. Although sales have grown rapidly during recent years, mgt fear

. Revenue Max.

Desktop Publishing Software Inc. develops and markets software packages for business computers. Although sales have grown rapidly during recent years, mgt fear that the recent increase in the number of competitors in the industry may severely retard future growth opportunities. It believes the time has come to 'either get big or get out'.The following monthly demand and cost info. has been provided by the accounting and marketing depts.

P = 1,000 - QTC = 50,000 + 100Q

a)Calculate monthly Q, P and TR and Tp at the revenue max. O/P

b)Calculate monthly Q, P and TR and Tp at the Tp max. O/P

c)Comment on the different values of the P, Q, TR and T in a) and b)

When would SR revenue max. lead to LR p max.?

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

Power And Plenty Trade, War, And The World Economy In The Second Millennium

Authors: R Findlay, Ronald Findlay

1st Edition

0691143277, 9780691143279

More Books

Students also viewed these Economics questions