An electronics store sells two popular models of wireless headphones, model A and model B. The sales of these products are not independent of each other (in economics, we call thesesubstitutable products because if the price of one increases, sales of the other will increase). The store wishes to establish a pricing policy to maximize revenue from these products. A study of priceand sales data shows the following relationships between the quantity sold (N) and prices (P) of each model:NA = 16-0.62PA + 0.32PBNB= 34 +0.09PA -0.61PBDevelop a spreadsheet for calculating the total revenue if PA = $18 and PB = $28. Design it so that the price-demand function parameters can easily be changed.Complete the spreadsheet below.(Type integers or decimals. Round the quantities to the nearest integer as needed. Do not include the $ symbol in your answers.)ABDEFG123ModelPriceModel Parameters for QTY SoldConstantCoeff Price ACoeff Price BQuantity SoldRevenueA4B5Total Revenue

Step 1: Step 2: Step 3: Step 4:

Answered: An electronics store sells two popular…

A First Course in Probability (10th Edition)

10th Edition

ISBN:9780134753119

Author:Sheldon Ross

Publisher:Sheldon Ross

Chapter1: Combinatorial Analysis

Section: Chapter Questions

Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...

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Four subject teachers Alice (A), Diana (D), Georgina (G) and Hellen (H) are to be assigned four subjects: Biology (B), Chemistry (C), English (E) and Kiswahili so as to get best performance. Based on past data we have: B C E K A 76 70 66 62 D 84 60 64 72 G 88 82 78 68 H 70 56 58 54 Assign the teachers to the teaching subjects so as to maximize school performance. [F] The profit function of a business firm is π=f(q)=−13q3+6q2−11q−50.π=f(q)=−13q3+6q2−11q−50. (i) What output qq should the business firm produce to maximize the profit? (ii) What is the maximum profit the business firm can generate?
interpret Company A and Company B's results below in terms of the factors that impact Cost Volume Profit Analysis (CVP). Why does Company B have the greater degree of operating leverage? As a manager, why is operating leverage an important concept? Company A Company B Sales (10,000 units times $26) $260,000 Sales (10,000 units times $32) $320,000 Less Variable expenses (10,000 units $16) 160,000 Less Variable expenses (10,000 units times $20) 200,000 Contribution margin (a) 100,000 Contribution margin (a) 120,000 Less Fixed expenses 80,000 Less Fixed expenses 100,000 Net operating income (b) 20,000 Net operating income (b) 20,000 Degree of operating leverage (a divided by b) 5.0 Degree of operating leverage (a divided by b) 6.0
R4
If Starbright Coffee Shop could get 1 more pound of coffee, which one should it be?What would be the effect on sales of getting 1 more pound of this coffee?• If the costs associated with increasing brewing capacity from 30 gallons to 40 gallonsper day come out to roughly $15 per day, would such a change be profitable?• If the shop spent $20 per day on advertising that would increase the relative demandfor Pomona to twice that of Coastal, should it be done?
1. The yearly data have been published showing the number of releases for each of the commercial movie studios and the gross receipts for those studios thus far. No. of releases (x) 361 270 306 22 35 10 8 12 21 Gross receipts (y) (million $)| 3844 1962 1371 1064 334 241 188 154 125 (a) Based on these data, can it be concluded that there is a linear relationship between the number of releases and the gross receipts? (b) Find y' when x = 200 new releases (c) Find the 95% prediction interval when x = 200 new releases 2. An economics student wishes to see if there is a relationship between the amount of state debt per capita and the amount of tax per capita at the state level. Per capita debt (x) 1924 907 1445 1608 661 Per capita tax (y) 1685 1838 1734 1842 1317 (a) Based on the data, can they conclude that per capita state debt and per capita state taxes are related? Both amounts are in dollars and represent five randomly selected states. (b) Find y' when x = $1500 in per capita debt (c)…
Fuel efficiency, measured in miles per gallon, is a feature often considered by shoppers looking for a new car. The scatterplot shows the vehicle weight of 15 car models in pounds, plotted against their highway fuel efficiency. Which of the labeled points on the graph would be considered a high leverage point? point A point B point C point D
i want Solution Part 1, 2,3
The Craft Library brews a variety of craft beers in Maboneng and has to decide which one of four potential selling prices to charge for the new caramel lager. The contribution depending on the combination of selling price and demand is shown in the payoff table below: Demand level Selling price R20 R30 R35 R40 Good R70 000 R80 000 R25 000 R40 000 Moderate R40 000 R50 000 R60 000 R30 000 Weak R60 000 R55 000 R30 000 R32 000 If the minimax criterion is applied, determine the price at which Wings Airlines should sell the tickets. A. R35 B. R40 C. R30 D. R20
Exercise 2. Marginal and Conditional Relationships can be Very Different. For 100 mild cases of eczema, a new treatment had a higher cure rate than the old treatment (33.3% of 90 vs. 20% of 10). For 100 severe cases of eczema, again the new treatment had a higher cure rate than the old treatment (60% of 20 vs. 50% of 80). Over all 200 eczema cases, however, the old treatment had a higher cure rate than the new treatment- i.e. Simpson's Paradox strikes again. (a) Compute the overall cure rates for the new and old treatments. (b) Which treatment, old or new, would you choose and why?
An entrepreneur who owns and operates two businesses (A and B) would like to analyze their profitability. They would like your help in the analysis. They give you the annual net profit (in thousands of $) for each business from 2008-2020. Table 1: Annual Net Profits for Businesses A and B Business Year Profit Business Year Profit 2008 -50 2008 -10 2009 57 2009 30 2010 71 2010 27 2011 64 2011 22 2012 60 2012 21 2013 50 2013 20 A 2014 41 2014 24 2015 59 2015 24 2016 71 2016 32 2017 71 2017 36 2018 74 2018 37 019 81 20 40 2020 97 2020 49 a. Suppose you want to graph the distribution of profits. Explain why using only one stem- plot might not be optimal for the analysis. b. Describe the correct stemplot to use. Generate this stemplot. Explain your steps. What can you say about the distribution from this stemplot? c. When are stemplots useful? And why is that? d. Suppose that instead of having 26 observations you have 200 observations. What graph should you generate? e. What other type of…
Three competing brands of cerial are being sold in the school cafeteria. Brand z's weekly sales are affected by the sales of the other two proucts. For each $1 increase in brand æ's sales, there is a decrease $0.80 in sales of brand z. Similarly, each $1 increase in brand y's sales, there is a increase $0.10 in sales of brand z. If the current sales for brand z, y, and z are $45.00, $69.00, and $76.00 respectively, write an equation for z's sales in terms of a and y.

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