1. The owner to the small pizzeria should compare the marginal benefit expected from increasing the radius of delivery area by one mile with the marginal cost. Some other additional cost of resources that would be required is the extra gas that will be used during the extra mile added. In result‚ you can begin with a marginal choice to see how these choices affect the additional sales revenue. 2. 200 C Cars 100 B
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figures of this type need to be examined in detail. For example‚ these figures do not show whether the British Government has possibly over spent’ on crime. Looking at figures of this type do not show the relevance of economic techniques‚ i.e. marginal deterrence‚ which was first introduced by Stigler in 1970. This paper has taken a comprehensive‚ but limited view on the relevance of economics and crime. Economics can have controversial ideas‚ and this can be expressed in terms of crime. Economic
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Task 309.1.1.06 A. Two methods of profit maximization that companies utilize are the total revenue to total cost approach and the marginal revenue to marginal cost approach. To attain their goal of achieving the highest level of profit‚ Company A uses these methods to determine the appropriate output level to achieve their goal. Both methods arrive at the same level. In the first approach‚ Company A first determines its total revenue by multiplying the number of widgets sold by the price
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the following short-run cost curve: TC = 800‚000 - 5‚000Q + 100Q^2 a) Compute the marginal cost curve for Ajax answer: Marginal Cost (MC) = dTC/dQ Since the derivative of a constant = 0‚ MC = -5‚000 + 200Q b) Given Ajax pricing strategy‚ what is the marginal revenue function for Ajax? Since Ajax is pricing as if it were a perfectly competitive firm‚ then‚ it’s price would equal its marginal revenue‚ thus: P = MR = $20‚000 c) Compute the profit maximizing level of output
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quantity of raisins demanded rises. Explain this change in terms of income and substitution effects. When the price of raisins falls‚ households have more purchasing power than before. If raisins are a normal good‚ this means that they will consume more of them. This is the income effect. Also‚ a decrease in the price of raisins makes raisins relatively less expensive. Thus‚ households will shift toward purchasing raisins from purchasing relatively more expensive goods. This is the substitution
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brand image influence one’s desire to consume? Introduction Buying is an essensial part in our daily life‚ ranging from purchasing a backpack to a drink in supermarkets. However‚ with the uprising branded items in the society‚ it causes a change in people’s desire to consume seemingly. It is said that although luxury brands may be highly
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Everyday we encounter the media in some form. It could be waking up to the sound of the radio‚ or passing billboards in the streets or simply just watching television. They are a lot of different forms of media‚ for example‚ verbal or written media‚ visual media and aural media. Examples of media would include newspapers‚ magazines‚ film‚ radio‚ television‚ billboard advertisements as well as the internet. Media studies came about because of the developments in mass communication and it provokes
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The media is a dynamic entity inherent in society that is both powerful and important. It demonstrates this by playing a vital role in the development of a person ’s perspective on political‚ economic and socio-cultural issues. This consequently helps to shape individuals ’ viewpoints of the world and define their lives through the interpretation of media texts. (Newman‚ 2004). Bazalgette supported Newman ’s point by stating "Media studies open up your understanding of how things work‚ how people
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to examine degrees of impact on switching propensity from each individual component of service quality. Service quality has measured through tangibles‚ reliability‚ responsiveness‚ assurance and empathy. These are the five dimensions‚ which are useing to measure quality of the services in the service industries. Research findings revealed that five variables measuring the various dimensions of service quality significantly reduces switching propensity of retail banking customers and highlighted
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Explainthe relationship between the average cost and marginal cost curve? Answer: We usually assume that the Average Cost curve is U shaped The MC curve will intercept the AC curves at its minimum point. When AC is decreasing‚ MC lies below AC - because when MC is below AC‚ producing an extra unit of output will pull down average cots When AC is increasing‚ MC lies above AC - because when MC is above AC‚ producing an extra unit of output will raise average costs Therefore MC will intercept the
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