Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
Scribd Logo
Upload

Welcome to Scribd!

  • 122 views

    Book 11

    Uploaded by

    Sudipta Sarangi
    Here are the key steps to solve this profit maximization problem: 1. The revenue function is R = P * D 2. The variable cost function is VC = U * D 3. Profit = Revenue - Total Cost = R - (VC + F) = (P * D) - (U * D + F) 4. Take the derivative of profit with respect to price and set it equal to 0: dProfit/dP = D - d(VC)/dP = D - 0 = 0 D = 0 5. The price that maximizes profit is the one where demand is 0. Plug this back into the profit function to find the maximum profit, which

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd

    Book 11

    Uploaded by

    Sudipta Sarangi
    122 views4 pages
    Here are the key steps to solve this profit maximization problem: 1. The revenue function is R = P * D 2. The variable cost function is VC = U * D 3. Profit = Revenue - Total Cost = R - (VC + F) = (P * D) - (U * D + F) 4. Take the derivative of profit with respect to price and set it equal to 0: dProfit/dP = D - d(VC)/dP = D - 0 = 0 D = 0 5. The price that maximizes profit is the one where demand is 0. Plug this back into the profit function to find the maximum profit, which

    Original Title

    Book11.xlsx

    Copyright

    © © All Rights Reserved

    Available Formats

    XLSX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Here are the key steps to solve this profit maximization problem: 1. The revenue function is R = P * D 2. The variable cost function is VC = U * D 3. Profit = Revenue - Total Cost = R - (VC + F) = (P * D) - (U * D + F) 4. Take the derivative of profit with respect to price and set it equal to 0: dProfit/dP = D - d(VC)/dP = D - 0 = 0 D = 0 5. The price that maximizes profit is the one where demand is 0. Plug this back into the profit function to find the maximum profit, which

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Download as xlsx, pdf, or txt
    122 views4 pages

    Book 11

    Uploaded by

    Sudipta Sarangi
    Here are the key steps to solve this profit maximization problem: 1. The revenue function is R = P * D 2. The variable cost function is VC = U * D 3. Profit = Revenue - Total Cost = R - (VC + F) = (P * D) - (U * D + F) 4. Take the derivative of profit with respect to price and set it equal to 0: dProfit/dP = D - d(VC)/dP = D - 0 = 0 D = 0 5. The price that maximizes profit is the one where demand is 0. Plug this back into the profit function to find the maximum profit, which

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Download as xlsx, pdf, or txt
    of 4

    Destination Tc duration AN TN DEST

    Jai 15000 3 sachin anil leh


    Leh 25000 8 rajesh anand goa
    amr 10000 2 smita piyush jai
    dar 20000 4 john
    goa 12000 3 lisa

    Column1 Column2 Column3 Column4


    Destination tc dur an
    dar 20000 4 john

    Column1 Column2
    an dest
    smita amr amr
    NOP TC
    3 75000
    5 60000
    4 60000

    No of persons 4
    TC 25000
    total exp 100000
    Scenario Summary
    Current Values: 1st 2nd 3rd 4th
    Changing Cells:
    $B$1 12 10 11 13 14
    $B$2 15000 15000 15000 15000 15000
    $B$3 5 3 4 5 6
    Result Cells:
    profit 50000 50000 50000 65000 65000
    revenue 180000 150000 165000 195000 210000
    Notes: Current Values column represents values of changing cells at
    time Scenario Summary Report was created. Changing cells for each
    scenario are highlighted in gray.
    Price per bottle 10 P 12
    demand -5033149800 D 7857.143
    unit cost 3 U 5
    fixed cost 45000 F 45000
    revenue -50331498000 R 94285.71
    variable cost 10000 VC 10000
    PROFIT -35232103600 PROFIT 39285.71

    You might also like