King is $ 20‚000. Ajax has the following short-run cost curve: TC = 800‚000 - 5‚000Q + 100Q^2 a) Compute the marginal cost curve for Ajax answer: Marginal Cost (MC) = dTC/dQ Since the derivative of a constant = 0‚ MC = -5‚000 + 200Q b) Given Ajax pricing strategy‚ what is the marginal revenue function for Ajax? Since Ajax is pricing as if it were a perfectly competitive firm‚ then‚ it’s price would equal its marginal revenue‚ thus: P = MR = $20‚000 c) Compute the
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buying as much and wait for prices to return to normal. This is the demanding curve. From this figure‚ we could see that Ed = (△Q/Q)/(△P/P) =((90-52)/52)/((50-75) /75)= -2.19‚ |Ed| is larger than 1. It means that consumers are really sensitive to price changes. In this condition‚ the market was highly price sensitive and a low price stimulates market growth. So it could set price by market-penetration pricing. Bennett hoped to earn a return of 15% on the selling price. 1. If he set the price according
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possible consequences of repurchasing company bonds outstanding using cash that he felt could be obtained by issuing new bonds with a lower interest rate. Mr. Lyons had asked Rene to focus on how much the company’s annual interest payments could be reduced‚ how reported earnings would be affected‚ and how the refunding would change the company’s financial position as referenced on the balance sheet‚ if at all. The Company The Lyons Company was a family business in the stationary supply business
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Discuss the main factors affecting product pricing in the UK Two surveys on the price-setting behaviour of UK firms published by the Bank of England in 1996 and 2008 concluded that the price‚ the amount of money expected‚ required or given for a certain level of output‚ was most often set as a result of market conditions1. The same report however found that the second largest price differential was the objective of the specific firm surveyed1‚ and thus product pricing in the UK can be seen to
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Global transfer pricing guide More and more fiscal authorities continue to develop their transfer pricing laws. The principles are common‚ although interpretations differ from one tax authority to another. Compliance takes time and patience‚ and the demands and penalties from authorities are increasing. There is greater emphasis on examination and audit activity to encourage compliance and ignoring this issue is not an option for any well-run business. This international transfer pricing guide provides
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1. " Global Transfer Pricing: A Practical Guide for Managers "‚ Ralph Drtina‚ Jane L. Reimers‚ S.A.M. Advanced Management Journal‚ v74n2‚ Spring 2009. Transfer Pricing Article Summary The authors give a beneficial guide for managers for selecting and implementing a transfer pricing policy. According to the article‚ transfer pricing are the amounts charged for goods and services exchanged between divisions of the same company. In a multinational company strict international tax laws regulate
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Three reasons how Zoe and Wil’s upbringings differ from each other is because Zoe always had an adult with her. Those adults were her momma’s boyfriends‚ and they neglected her. Unfortunately‚ Wil didn’t have an adult because both of his parents had died. Another reason how Zoe and Wil’s upbringings differ from each other is because Wil had to raise himself at the age of 2 or 3. Zoe had to raise herself also‚ but not the way Wil had to. Wil had to learn how to feed himself‚ and what foods were right
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In addition to this once a week we will hold various classes based on the needs of my client base to assist in making computers easier to use. The company motto is “Making technology work for you.” which we do using open sourced software to keep costs down while. Currently I provide consulting‚ maintenance and educational services to clients over the phone‚ via email‚ remote connections and home visits. Consulting is what I believe I do best. Assessing someones computer needs is not easy. In most
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Marketing Management Psychological Pricing Rodrigo Fernández-Romero. 20th March 2010. Psychological Pricing Many sellers believe that prices should end in an odd number (9‚99€) instead of 10€ as price. Why?. • • • Because consumers have the tendency of ignoring the last digits instead of doing the rounding. Although actually seeing the cents‚ they may subconsciously ignore them. Some suggest that this effect may be enhanced when the cents are printed smaller (for example‚ €19.99)
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A; Yan‚ Ruiliang. “Pricing strategy for companies with mixed online and traditional retailing distribution markets”. Emerald Group Publishing‚ Limited. Business And Economics--Marketing And Purchasing. Santa Barbara‚ United Kingdom. 2008. Pp 48-56. Scholarly Journals. http://search.proquest.com/abicomplete/docview/220598485/13C4FE6AEA125A60378/1?accountid=11620 When a company employs a multi-channel strategy‚ an important question is what pricing strategy should be adopted so that the company
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