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soldi70 [24.7K]
2 years ago
15

Suppose the cost of operating a 100 room hotel for a night is $10,000 and there are 5 empty rooms for tonight. If the marginal c

ost of operating one room for one night is $30 and a customer is willing to pay $60 for the night, the hotel manager should:
Business
1 answer:
Andrew [12]2 years ago
3 0

Please see options missing from the original question :

A. rent the room because the marginal benefit exceeds the marginal cost.

B. rent the room because the marginal benefit exceeds the average cost.

C. not rent the room because the marginal benefit is less than the marginal cost.

D. not rent the room because the marginal benefit is less than the average cost.

Answer:

A. rent the room because the marginal benefit exceeds the marginal cost.

Explanation:

Although , the original operating cost of a room per night is $100 (($10,000/100), but since there are idle capacity (empty rooms), the company will be better off by an incremental profit of $30 ($60 -$30) per room by offering to sell empty rooms for $60 per room, using a marginal (incremental ) approach.

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2 years ago
Calculate the values for each of the questions. Assume that in each country there are no taxes, international trade, or inflatio
BaLLatris [955]

Answer:

The answer is:

For italy: $35 billion

For Greece: -$40 billion

Explanation:

Injection into the economy = $70 billion.

Government spending multiplier is 1.5.

MPC = $70billion x 1.5

=$105 billion.

Change in Italy's real GDP due to the transfer = $105 billion - $70 billion

= $35 billion.

Greek Government.

Multiplier effect = 1 ÷ (1-MPC)

1 ÷ (1-0.6)

1÷ 0.4

-2.5.

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Therefore, the final change in real GDP as a result of this decreased spending is

-2.5 x $16 billion

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3 0
2 years ago
Campbell's soup company continues to add new food products to its product line under the campbell's brand name. this is known as
almond37 [142]
This is known as family branding. Family branding or also known as umbrella branding is a marketing strategy that uses a single brand name in marketing the products. The family branding develops familiarity in the market due to its name and logo. This helps their new product lines to get distinguished in the market. 

7 0
2 years ago
Since public relations communications are typically perceived as _____, they are not subject to the problems of clutter that are
denis23 [38]

Answer:

news items

Explanation:

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7 0
2 years ago
) Using the following information, what is the amount of cost of merchandise sold?
Orlov [11]

Answer:

C. 30,210

Explanation:

Cost of merchandise sold = cost of merchandise purchase - cost of merchandise left in inventory

= Purchases  of $32,000 - Purchases discounts  of $960 - Purchases returns and allowances  of $1,200 + Freight In  of $1,040

- ( Merchandise inventory  at  September 30  of $6,370 - Merchandise inventory September 1  of $5,700)

= 32,000- 960- 1,200+1,040 - 670 = 30,210

5 0
2 years ago
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