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lorrkelly1 lorrkelly1
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Posts: 561
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6 years ago
What is the average cost per unit for producing 3 units?
 a. 200.
  b. 260.
  c. 70.
 d. 110.

QUESTION 2

Cover Charges Hank's Honkytonk is a local bar and nightspot. On weekends, it requires a 5 cover charge to defray the costs of the live musical acts Hank brings in. This has worked wonderfully, as it generates capacity crowds and a long line of people waiting to enter. However, after the cost of the acts, he still loses money on the weekends. What is his marginal revenue and marginal cost of a patron on weekends and how should he attempt to fix his unprofitability problem?

QUESTION 3

What are the total profits if four units are produced?
 a. 40.
 b. 70.
 c. -30.
  d. 20.

QUESTION 4

Wine Merger In October, 2014, Vintners Global Resource's (VGR) agreed to purchase M.A. Silva. VGR is a leading manufacturer of glass bottles and packaging for wines and M.A. Silva is a manufacturer of premium natural corks. What is the expected effect of this merger on price-cost margins?

QUESTION 5

How many units should the profit maximizing firm produce?
 a. 1
  b. 2
  c. 3
  d. 4

QUESTION 6

Beverage Merger Cott Corp markets a portfolio of beverages, bottled waters, beverage, and coffee delivery systems for homes and offices. In November, 2014, it has agreed to merge with DS Services of America, a water and coffee direct-to-consumer services provider. What is the expected effect of this merger on price-cost margins?

QUESTION 7

What is the marginal cost of producing the third unit?
 a. 60
 b. 70
 c. 90
 d. 110
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