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Pricing and Demand: Economics worksheet

Looking at 2-5/2-6 answer the following:


1) If every bar costs $.10 to produce, where is the maximum profit in pricing?
2) If for every 1,000 bars you produce the cost of production drops $.01,
where is the maximum profit?
3) If an actor says that a Yum-Yum bar is his favorite and demand does up
500 bars at all prices, assuming 1 and 2 are still true, where is the
maximum profit?
Looking at figure 2-7
4) What could cause this change?
5) Recreate 2-5, using 2-7 as your data source
6) What would be the new answer to question number 1?
Looking at figure 2-8
7) What could cause this change?
8) Where is the maximum profit on demand2s curve?
9) What would be the new answer to question number 1?
Looking at figure 2-9
10)
11)

What could cause this change?


What would be the new answer to question number 1?

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