Question #5What is the MC=MR Profit Maximization point? What quantity should Delicious Deserts be producing at 'and' what price should they be charging to maximize their profits? Question #6Why isn't it a good idea for them to produce and sell as many cakes as they can? Is it more profitable to sell less cakes at this current stage of their business?Question #7Do you have any other recommendations for Delicious Deserts to increase their revenues, profits, market share, and client retention? The "A" student did a quarterly cost breakdown analysis for Delicious Deserts. A month-to-month analysis would have been better, but the owners just wanted a quick quarterly analysis. Q1= 150 cakes sold, Q2 = 300 cakes sold, Q3 = 450 cakes sold and Q4 = 475 sold.Quantity Sold150300450475Demand/Price $275$275$240$180$170MR$275$205$ 60($ 10)ATC$238$207$153$151MC$200$175$ 47$283TR$41250$72000$81000$80750TC$35750$62000$69000$76075Net Profit$ 5500$10000$12000$ 4675Challenge Question #4:Hint: Use the instructions on page 7 of the Excel 2016 handout.Can you plot a nice-looking graph to show how the demand curve, the average total cost,marginal cost, and marginal revenue curves look like? Paste it on this page or attach aseparate page to this homework.

PLEASE BE NOTED AS PER THE GUIDELINES I HAVE DONE THE FIRST THREE SUB-PARTS. PLEASE POST ANOTHER…

Answered: The "A" student did a quarterly cost…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Question

Question #5
What is the MC=MR Profit Maximization point? What quantity should Delicious Deserts be producing at 'and' what price should they be charging to maximize their profits?

Question #6

Why isn't it a good idea for them to produce and sell as many cakes as they can? Is it more profitable to sell less cakes at this current stage of their business?

Question #7
Do you have any other recommendations for Delicious Deserts to increase their revenues, profits, market share, and client retention?

The "A" student did a quarterly cost breakdown analysis for Delicious Deserts. A month-to-
month analysis would have been better, but the owners just wanted a quick quarterly analysis. Q1
= 150 cakes sold, Q2 = 300 cakes sold, Q3 = 450 cakes sold and Q4 = 475 sold.
Quantity Sold
150
300
450
475
Demand/Price $275
$275
$240
$180
$170
MR
$275
$205
$ 60
($ 10)
ATC
$238
$207
$153
$151
MC
$200
$175
$ 47
$283
TR
$41250
$72000
$81000
$80750
TC
$35750
$62000
$69000
$76075
Net Profit
$ 5500
$10000
$12000
$ 4675
Challenge Question #4:
Hint: Use the instructions on page 7 of the Excel 2016 handout.
Can you plot a nice-looking graph to show how the demand curve, the average total cost,
marginal cost, and marginal revenue curves look like? Paste it on this page or attach a
separate page to this homework.

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 2 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions