MGTA05H3 Study Guide - Quiz Guide: Dial Tone, Oligopoly, Monopolistic Competition

78 views3 pages

erinalligator902

31 Oct 2017

School

Department

Course

Professor

For unlimited access to Study Guides, a Grade+ subscription is required.

lillyzuxian and 39077 others unlocked

MGTA05H3 Full Course Notes

Verified Note

12 documents

Document Summary

This year, mcdavid"s decided to reduce the price of the big dave hamburger from down to . Ronald mcdavid thought that this might increase the volume of sales. Big daves from 10,000 to 20,000 during the year. His rent, and the cost of employing his workers did not change. The ingredients in each big dave did increase, from last year to . 50 this year. In addition, his decision to change the price of the big dave did not affect the sales of his other burgers. Since ronald mcdavid lives off of the profit from his business, the decision to lower the price of the big dave was: In a market economy, the amount produced is determined by the producers. They review the market and determine how much they think they can sell. So past transactions are the key determinants of the amount of production. Question 2: you are visiting a rural town in wyoming, touring the rocky.

Related Questions

22) This year, McDavid's decided to reduce the price of the “Big Dave" from $5 down to $4. Ronald McDavid thought that this might increase the volume of sales. He was correct. The lower price increased demand “Big Daves" from 10,000 to 20,000 during the year. His rent, and the cost of employing the two part time workers did not change. In addition, his decision to change the price of the "Big Dave" did not affect the sales of "Pip-Squeak” burgers. The number of Pip-Squeaks sold, their price, and their cost were exactly the same as last year. Since Ronald McDavid lives off of the profit from his business, the decision to lower the price the “Big Dave” was: a good idea - the business made a larger profit. a bad idea - the business made a lower profit. neither a good nor bad idea - the profit stayed the same. we don't have enough information to know.

40) This year, McDavid's decided to reduce the price of the "Big Dave" from $5 down to $4. Ronald McDavid thought that this might increase the volume of sales. He was correct. The lower price increased demand "Big Daves” from 10,000 to 20,000 during the year. His rent, and the cost of employing the two part time workers did not change. In addition, his decision to change the price of the "Big Dave" did not affect the sales of "Pip-Squeak” burgers. The number of Pip-Squeaks sold, their price, and their cost were exactly the same as last year. Since Ronald McDavid lives off of the profit from his business, the decision to lower the price the "Big Dave” was: a) b) c) a good idea - the business made a larger profit. a bad idea - the business made a lower profit. neither a good nor bad idea - the profit stayed the same. we don't have enough information to know.

21) McDavid's Hamburgers sells only two kinds of hamburger: "The Pip-Squeak” and the “Big Dave". Last year, Mcdavid's sold 20,000 “Pip-Squeaks", selling them for $2.50 each. McDavid's sold 10,000 “Big Daves" at $5 each. It costs exactly $1 in ingredients to make a "Pip-Squeal". It costs exactly $2 in ingredients to make a "Big Dave. McDavid's paid $20,000 rent for the store (which includes all electricity, utilities, insurance, etc.) In addition, McDavid's paid a total of $20,000 to a couple of students who worked part time, helping out on busy Friday and Saturday nights. Ronald McDavid, the owner of the restaurant, paid himself no salary, but took home all of the profits. Last year, Ronal McDavid's business earned him a profit of b) $40,000 $20,000 $60,000 loss of $10,000

MGTA05H3 Study Guide - Quiz Guide: Dial Tone, Oligopoly, Monopolistic Competition

MGTA05H3 Full Course Notes

Document Summary

Get access

Related Documents

MGTA05H3 Lecture Notes - Lecture 1: Perfect Competition, Monopolistic Competition, Profit Margin

MGTA05H3 Study Guide - Final Guide: Monopolistic Competition, Dial Tone, Sole Proprietorship

ACTG 2P12 Chapter Notes - Chapter 15: Operating Leverage, Fixed Cost, Earnings Before Interest And Taxes

Related Questions