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Lubov Fominskaja [6]
1 year ago
15

Suppose that the weekly price of milk is $3.40 per gallon and MPEP decides to ramp up weekly advertising by 35 percent to $150 (

in hundreds). Use the best-fitting regression model to estimate the weekly quantity of milk consumed after this advertising increase.
Business
1 answer:
nadezda [96]1 year ago
7 0

Answer:

Total Cost increase  5,253.4 unit

Explanation:

given data

weekly price a = $3.40 per gallon

ramp up weekly b = 35%

ramp up weekly  upto x = $150( in hundred)

solution

we will use here the regression equation that is

Y = a + b x    ...........................1

here Y is Total Cost and a is fixed cost and  

b is rate of variability and x is level of activity

so here put value in equation 1 we get

Total Cost Y = 3.40 + 0.35 × ( 15,000)

Total Cost  Y = 3.40 + 5,250

Total Cost increase  5,253.4 unit

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Apple, known for creativity and innovation, keeps its new innovations consistent with previous product lines to maintain long-te
Mamont248 [21]

Answer: Relational

Explanation: Relational orientation is a term in marketing where a marketer or producer identify the need of its customers or consumers and make available products that will meet their need and help to build a good relationship with the consumers or customer. This term is used by most multinationals like Apple etc to build brand loyalty and maintain a good market share.

3 0
2 years ago
Suppose you win the lottery and have two options: A. Take $1 million now. B. Take $1.2 million to be paid out as 300,000 now and
laila [671]

Answer:

A. Take $1 million now.

Explanation:

A. If we take $1 million now the present value of the money is $1 million.

B. If we choose to take $1.2 million paid out over 3 years then present value will at 10% will be;

$300,000 + $300,000 / 1.2 + $300,000/ 1.44 + $300,000 / 1.728

$300,000 + $250,000 + $208,000+ $173,611 = $931,944

The present value of option B is less than present value of option A. We should select option A and take $1 million now.

4 0
1 year ago
A corporate bond has a face value of $1,000 and a coupon rate of 6.5%. The bond matures in 10 years and has a current market pri
Virty [35]

Answer:After-tax cost of debt capital = 4.78%

Explanation:

Cost of debt (After-tax):

K_{d} = (\frac{1}{P_{b}} - F)\times(1 – tax rate)

Where,

K_{d}= After tax cost of debt

F = Floatation cost

P_{b} = Net proceeds

Net proceeds = Bond face value ± Premium or Discount

Net proceeds: $ 1000 - $ 15 = $ 985

Flotation cost = $ 36

Tax rate 34% or 0.34

Hence, after tax cost of debt =  (\frac{65}{985} - 36)\times(1 - 0.34)

= 4.778 % (approx.)

i.e. 4.78%

3 0
1 year ago
Elise is the marketing manager in a travel company. She is planning to place an advertisement in local newspapers to promote her
Scorpion4ik [409]

Answer:

The answer is C. link the advertisements to online promotions.

Explanation:

Now lets take a look at it one by one and see why C is the answer.

As in option A, she can ask a few friends whether they've seen the ad or not, but their replies would not accurately show the success of the promotion strategy.

In Option B,  it take some time to measure the results and the quarterly sales numbers can be influenced by many factors and may not reflect the impact of this specific promotional campaign.

Option D is irrelevant, Elise's company sales and the sales of the newspapers are not related. So we can not take this as an answer.

Option C however is very applicable. If you link the advertisements to online promotions, when those who read the news paper comes to check the online promotion, we can see how well has the ad performed based on the number of online enrollments of the readers.

6 0
2 years ago
The supply of leather jackets would be expected to increase as a result of: A. a decrease in the cost of producing leather jacke
Alexeev081 [22]

Answer: Option A and B

Explanation: The given case relates to the law of supply.

As per the law of supply, the price and the quantity supplied of  a good or service are positively related to each other. However there are other factors also which affects the demand such as the cost of production.

If the price of a commodity rises or its cost of production decreases then the profit margin of it increases for the supplier. This increased margin works as an incentive to produce and supply more to the market.

Hence the correct option is A and B.

4 0
2 years ago
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