Let Q be the number of pies they make and sell. The total cost, C(Q) in dollars, for making Q pies is given by: C(Q) = 36 + 2Q. Sales price is 5 dollars for each pie. What is the additional cost to make 21 pies instead of 20 pies?
Q: A company produces and sells luxury goods and is able to control the demand for the product by…
A: A company produces and sells luxury goods and can control the demand for the product by varying the…
Q: SureStep is currently getting 160 regular-time hours from each worker per month. This is actually…
A: Productivity and complete output standards are met in an organization where the workers work with…
Q: An ad campaign for a new snack chip will be conducted in a limited geographical area and can use TV…
A: Given data is Medium Cost Reached Quality TV 500 10000 30 Radio 200 3000 40 Newspaper 400…
Q: The quantity to be maximized, z, is the number of viewers in thousands. Let x, be the total number…
A: x1 = Total number of minutes allotted to the senatorx2 = Total number of minutes allotted to the…
Q: There are three investments, B1, B2 and B3. All of them have the same expected value and each with…
A: Given data is
Q: RMC, Inc., is a small firm that produces a variety of chemical products. In a particular production…
A: Given Data, A ton of fuel additive is Material 1 mixes 25 tons Material 3 mixes 35 tons A ton…
Q: The management of the Keribels Company wishes to apply the Miller-Orr model to manage its cash…
A: Given data, Transaction cost =$100 Cash flow variance=75000 I =0.05%
Q: The government is auctioning off oil leases at two sites. At each site, 150,000 acres of land are to…
A: Land for auctioning = 150,000 acres Also, no bidder can receive more than 45% of the land being…
Q: What sales price will be necessary to achieve a target profit of $1 million?
A: The unit variable cost, fixed cost, target profit, and target volume, sales price to accomplish the…
Q: A company is considering two insurance plans with the following types of coverage and premiums Plan…
A: Given that: Total coverage for fire/theft insurance = $6,36,000 Total coverage for liability…
Q: Suppose you are going to receive $20,000 per year for five years. The appropriate interest rate is 7…
A: a) The timeline for the ordinary annuity is: If the payments are in the form of an ordinary…
Q: An inventor wants to maximize his profit form an investment in three stocks: A, B, & C, with a…
A: Linear programming (LP) is a mathematical modeling approach used by operations managers to come up…
Q: My current income is $40,000. I believe that I owe$8,000 in taxes. For $500, I can hire a CPA to…
A:
Q: A market analyst working for a small appliance manufacturer finds that if the firm produces and…
A: Answer (a) When given a graph of a profit equation with the number of items produced on the x-axis…
Q: A marketing company must decide how many interviews to conduct during daytime (their number is D)…
A: A marketing company must decide how many interviews to conduct during the daytime (their number is…
Q: A local printing company provides a custom printing service. Since each job is differ- ent, demand…
A: Period 1 2 3 4 5 Total Sales Forecast 100 100 100 100 100 500 Planned Production 105 105 105 105…
Q: A company manufactures two products. If it charges price pi for product i, it can sell qi units of…
A: Given, q1 = 60 - 3p1 + p2 q2 = 80 - 2p2 + p1.
Q: respectively, and let z be the total Maximize 2= 6x, + 12x, + 30x 8x, + 16x, + 20x s 45460 12x, +6x+…
A: Please follow the attachments:
Q: A bond has a face value of $1,000, an annual coupon rate of 3.70%, an yield to maturity of 7.4%,…
A: MACAULAY DURATION Using analytic…
Q: A manufacturing company has an aggregate planning of selling its beds in the following sizes (the…
A: Given Information: Total Production Bed Sizes Production Proportion Colors Proportion…
Q: TRUE OR FALSE In a simplex maximization slack variable is added to convert the objective function…
A: Slack variables are added to convert the objective function to the equation.
Q: RMC, Inc., is a small firm that produces a variety of chemical products. In a particular production…
A: Let Fuel Additive = F and solvent base = S maximize Z = 2000 F + 1500 S subject to 2/6 F +…
Q: Susan Solomon has been thinking about starting her own fuel station, but Susan's problem is to…
A: Given data:
Q: A company is considering two machines. Machine X has a first cost of $30,000, AOC of $18,000, and S…
A: Annual Worth - The AW method is generally utilized for comparing choices. AW indicates that all…
Q: The company wants to determine how much of each paint to produce to maximize its gross income. The…
A: THE ANSWER IS AS BELOW:
Q: TRUE OR FALSE In the simplex minimization method, optimality is signaled by the presence of all…
A: In the optimal simplex table, cj-zj=0 value indicates an Alternative solution
Q: The cost per day of running a hospital is 200,000 +0.5x2 dollars, where x is the number of patients…
A: Given: 1. Cost per day for the hospital is of the form 200,000+0.5x² patients where x is the number…
Q: Consider the following optimization problem: “Consider the ellipse given by . If you inscribe a…
A: Let assume the major axis of ellipse be “a” and minor axis of ellipse be “b”. and coordinates of one…
Q: Assume “Jane” saves $10,000 per year for 10 years starting at age 25. At age 35 she no longer is…
A: Particulars Amount (in $) Jane John Annual Savings 10000.00 10000.00 No. of years 10 30…
Q: Write an equation giving profit as a function of the number of lightweight compasses produced. (ii)…
A: (i) p=30-3q
Q: A major oil company is considering the optimal timing for the construction of new refineries. From…
A:
Q: A company has $10,000 to invest , to be divided into fixed interest, equities and property. For…
A: Here, the individual wants to make an investment decision. Let x = Amount invested in fixed interest…
Q: If the profit generated per cabinet is P80 and per dresser is P100, write the objecti that best…
A: Linear programming is a process to reach the best outcome such as maximum profit or lowest cost in a…
Q: You have $50,000 to invest in three stocks. Let Ri be the random variable representing the annual…
A: The question can be solved using Excel solver. Objective: To find a minimum variance (minimum risk)…
Q: TRUE OR FALSE In the simplex maximization method, optimality is signaled by the presence of all…
A: Optimality condition: The entering variable in a simple maximization problem is the non basic…
Q: Do you think it is possible to depict this production function with an isoquant? Justify your answer…
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: Hello, Below is the question from Statistic Chapter Linear Programming and the solution is required…
A: Following is the excel model:
Q: The purchased and installation costs of some pieces of equipment are given as a function of weight…
A:
Q: The management of the Keribels Company wishes to apply the Miller-Orr model to manage its cash…
A: Given data, Transaction cost =$100 Cash flow variance=75000 I =0.05%
Q: 7. Investment Advisors, Inc., is a brokerage firm that manages stock portfolios for a number of…
A: Given, Max 3U+5H s.t 25U+50H <= 80000 0.5U+0.25D <= 700 U <= 1000 U,H >= 0
Q: 40. Mutual Funds In 2015, the Phoenix/Zweig Advisors Zweig Total Return fund (ZTR) was expected to…
A: Z = Investment amount in ZTR M = Investment amount in MSP The objective is to maximize the return.…
Q: In the design of a jet engine part, the designer has a choice of specifying 10 either an aluminum…
A: Given data is Weight of aluminum casting = 1.2 kg Weight of steel casting = 1.35 kg Cost of aluminum…
Q: Assume that $1,285,673 is to be invested in a project whose annual projected cash flows are as…
A: The net present value shows the capital appreciation from a project. This means that the net present…
Q: An electronics firm is currently manufacturing an item that has a variable cost of 25Php/unit and a…
A: Given, Fixed cost- 700000 V.C- 50/UNIT
Q: How long will it take $12,000 to grow to $19,000 if the investment earns interest at the rate of…
A: WE WOULD USE THE FORMULA OF COMPOUND INTEREST HERE. IT IS THE INTEREST WHIC IS ADDED OVER PRINCIPAL…
Q: company wants to produce 480 units over the next three months at a uniform rate. The months have 19,…
A: The answer is as below:
Q: A savings and loan association estimates that the amount of money on deposit will be 10,000,000…
A: The revenue and cost for a bank are confusing as the bank loses money by paying interest on…
The Math Club is selling pies on March 14th as a fundraiser. Let Q be the number of pies they make and sell. The total cost, C(Q) in dollars, for making Q pies is given by: C(Q) = 36 + 2Q. Sales price is 5 dollars for each pie.
What is the additional cost to make 21 pies instead of 20 pies?
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
- Assume the demand for a companys drug Wozac during the current year is 50,000, and assume demand will grow at 5% a year. If the company builds a plant that can produce x units of Wozac per year, it will cost 16x. Each unit of Wozac is sold for 3. Each unit of Wozac produced incurs a variable production cost of 0.20. It costs 0.40 per year to operate a unit of capacity. Determine how large a Wozac plant the company should build to maximize its expected profit over the next 10 years.The IRR is the discount rate r that makes a project have an NPV of 0. You can find IRR in Excel with the built-in IRR function, using the syntax =IRR(range of cash flows). However, it can be tricky. In fact, if the IRR is not near 10%, this function might not find an answer, and you would get an error message. Then you must try the syntax =IRR(range of cash flows, guess), where guess" is your best guess for the IRR. It is best to try a range of guesses (say, 90% to 100%). Find the IRR of the project described in Problem 34. 34. Consider a project with the following cash flows: year 1, 400; year 2, 200; year 3, 600; year 4, 900; year 5, 1000; year 6, 250; year 7, 230. Assume a discount rate of 15% per year. a. Find the projects NPV if cash flows occur at the ends of the respective years. b. Find the projects NPV if cash flows occur at the beginnings of the respective years. c. Find the projects NPV if cash flows occur at the middles of the respective years.It costs a pharmaceutical company 75,000 to produce a 1000-pound batch of a drug. The average yield from a batch is unknown but the best case is 90% yield (that is, 900 pounds of good drug will be produced), the most likely case is 85% yield, and the worst case is 70% yield. The annual demand for the drug is unknown, with the best case being 20,000 pounds, the most likely case 17,500 pounds, and the worst case 10,000 pounds. The drug sells for 125 per pound and leftover amounts of the drug can be sold for 30 per pound. To maximize annual expected profit, how many batches of the drug should the company produce? You can assume that it will produce the batches only once, before demand for the drug is known.
- The game of Chuck-a-Luck is played as follows: You pick a number between 1 and 6 and toss three dice. If your number does not appear, you lose 1. If your number appears x times, you win x. On the average, use simulation to find the average amount of money you will win or lose on each play of the game.Big Hit Video must determine how many copies of a new video to purchase. Assume that the companys goal is to purchase a number of copies that maximizes its expected profit from the video during the next year. Describe how you would use simulation to shed light on this problem. Assume that each time a video is rented, it is rented for one day.The file P02_41.xlsx contains the cumulative number of bits (in trillions) of DRAM (a type of computer memory) produced and the price per bit (in thousandth of a cent). a. Fit a power curve that can be used to show how price per bit drops with increased production. This relationship is known as the learning curve. b. Suppose the cumulative number of bits doubles. Create a prediction for the price per bit. Does the change in the price per bit depend on the current price?
- You now have 5000. You will toss a fair coin four times. Before each toss you can bet any amount of your money (including none) on the outcome of the toss. If heads comes up, you win the amount you bet. If tails comes up, you lose the amount you bet. Your goal is to reach 15,000. It turns out that you can maximize your chance of reaching 15,000 by betting either the money you have on hand or 15,000 minus the money you have on hand, whichever is smaller. Use simulation to estimate the probability that you will reach your goal with this betting strategy.In this version of dice blackjack, you toss a single die repeatedly and add up the sum of your dice tosses. Your goal is to come as close as possible to a total of 7 without going over. You may stop at any time. If your total is 8 or more, you lose. If your total is 7 or less, the house then tosses the die repeatedly. The house stops as soon as its total is 4 or more. If the house totals 8 or more, you win. Otherwise, the higher total wins. If there is a tie, the house wins. Consider the following strategies: Keep tossing until your total is 3 or more. Keep tossing until your total is 4 or more. Keep tossing until your total is 5 or more. Keep tossing until your total is 6 or more. Keep tossing until your total is 7 or more. For example, suppose you keep tossing until your total is 4 or more. Here are some examples of how the game might go: You toss a 2 and then a 3 and stop for total of 5. The house tosses a 3 and then a 2. You lose because a tie goes to the house. You toss a 3 and then a 6. You lose. You toss a 6 and stop. The house tosses a 3 and then a 2. You win. You toss a 3 and then a 4 for total of 7. The house tosses a 3 and then a 5. You win. Note that only 4 tosses need to be generated for the house, but more tosses might need to be generated for you, depending on your strategy. Develop a simulation and run it for at least 1000 iterations for each of the strategies listed previously. For each strategy, what are the two values so that you are 95% sure that your probability of winning is between these two values? Which of the five strategies appears to be best?Software development is an inherently risky and uncertain process. For example, there are many examples of software that couldnt be finished by the scheduled release datebugs still remained and features werent ready. (Many people believe this was the case with Office 2007.) How might you simulate the development of a software product? What random inputs would be required? Which outputs would be of interest? Which measures of the probability distributions of these outputs would be most important?
- You have 5 and your opponent has 10. You flip a fair coin and if heads comes up, your opponent pays you 1. If tails comes up, you pay your opponent 1. The game is finished when one player has all the money or after 100 tosses, whichever comes first. Use simulation to estimate the probability that you end up with all the money and the probability that neither of you goes broke in 100 tosses.A martingale betting strategy works as follows. You begin with a certain amount of money and repeatedly play a game in which you have a 40% chance of winning any bet. In the first game, you bet 1. From then on, every time you win a bet, you bet 1 the next time. Each time you lose, you double your previous bet. Currently you have 63. Assuming you have unlimited credit, so that you can bet more money than you have, use simulation to estimate the profit or loss you will have after playing the game 50 times.Play Things is developing a new Lady Gaga doll. The company has made the following assumptions: The doll will sell for a random number of years from 1 to 10. Each of these 10 possibilities is equally likely. At the beginning of year 1, the potential market for the doll is two million. The potential market grows by an average of 4% per year. The company is 95% sure that the growth in the potential market during any year will be between 2.5% and 5.5%. It uses a normal distribution to model this. The company believes its share of the potential market during year 1 will be at worst 30%, most likely 50%, and at best 60%. It uses a triangular distribution to model this. The variable cost of producing a doll during year 1 has a triangular distribution with parameters 15, 17, and 20. The current selling price is 45. Each year, the variable cost of producing the doll will increase by an amount that is triangularly distributed with parameters 2.5%, 3%, and 3.5%. You can assume that once this change is generated, it will be the same for each year. You can also assume that the company will change its selling price by the same percentage each year. The fixed cost of developing the doll (which is incurred right away, at time 0) has a triangular distribution with parameters 5 million, 7.5 million, and 12 million. Right now there is one competitor in the market. During each year that begins with four or fewer competitors, there is a 25% chance that a new competitor will enter the market. Year t sales (for t 1) are determined as follows. Suppose that at the end of year t 1, n competitors are present (including Play Things). Then during year t, a fraction 0.9 0.1n of the company's loyal customers (last year's purchasers) will buy a doll from Play Things this year, and a fraction 0.2 0.04n of customers currently in the market ho did not purchase a doll last year will purchase a doll from Play Things this year. Adding these two provides the mean sales for this year. Then the actual sales this year is normally distributed with this mean and standard deviation equal to 7.5% of the mean. a. Use @RISK to estimate the expected NPV of this project. b. Use the percentiles in @ RISKs output to find an interval such that you are 95% certain that the companys actual NPV will be within this interval.