Quantitative Chapter 1 and 2
MBA 570 Homework Questions Chapter 1 and 2
Chapter 1
(1-20)
Mysti Farris (See problem 1-19) is considering raising the selling price of each cue to $50 instead of $40. If this is done while the costs remain the same, what would the new breakeven point be? What would the total revenue be at this breakeven point? (Given in problem 1-19: fc of 2400 and vc of 25)
(1-21)
Mysi Farris (see problem 1-19) believes that there is a high probability that 120 pool cues can be sold if the selling price is appropriately set. What selling price would cause the breakeven point to be 120? (Given in problem 1-19: fc of 2400 and vc of 25)
(1-23)
A couple of entrepreneurial business students at state university decided to put their education into practice by developing a tutoring company for business students. While private tutoring was offered, it was determined that group tutoring before tests in the large statistics classes would be most beneficial. The students rented a room close to campus for $300 for 3 hours. They developed handouts based on past tests, and these handouts including color graphs cost $5 each. The tutor was paid $25 per hour for a total of $75 for each tutoring session. a. if students are charged $20 to attend the session, how many students must enroll for the company to break even? b. A somewhat smaller room is available for $200 for 3 hours. The company is considering this possibility. How would this affect the breakeven point?
Chapter 2
(2-16)
An urn contains 8 red chips, 10 green chips, and 2 white chips. A chip is drawn and replaced, and then a second chip drawn. What is the probability of: a. a white chip on the first draw? b. A white chip on the first draw and a red on the second? c. Two green chips being drawn? d. A red chip on the second, given that a white chip was drawn on the first?
(2-18)
Last year, at northern manufacturing company, 200 people had colds during the year. One hundred and fifty five
Chapter 1
(1-20)
Mysti Farris (See problem 1-19) is considering raising the selling price of each cue to $50 instead of $40. If this is done while the costs remain the same, what would the new breakeven point be? What would the total revenue be at this breakeven point? (Given in problem 1-19: fc of 2400 and vc of 25)
(1-21)
Mysi Farris (see problem 1-19) believes that there is a high probability that 120 pool cues can be sold if the selling price is appropriately set. What selling price would cause the breakeven point to be 120? (Given in problem 1-19: fc of 2400 and vc of 25)
(1-23)
A couple of entrepreneurial business students at state university decided to put their education into practice by developing a tutoring company for business students. While private tutoring was offered, it was determined that group tutoring before tests in the large statistics classes would be most beneficial. The students rented a room close to campus for $300 for 3 hours. They developed handouts based on past tests, and these handouts including color graphs cost $5 each. The tutor was paid $25 per hour for a total of $75 for each tutoring session. a. if students are charged $20 to attend the session, how many students must enroll for the company to break even? b. A somewhat smaller room is available for $200 for 3 hours. The company is considering this possibility. How would this affect the breakeven point?
Chapter 2
(2-16)
An urn contains 8 red chips, 10 green chips, and 2 white chips. A chip is drawn and replaced, and then a second chip drawn. What is the probability of: a. a white chip on the first draw? b. A white chip on the first draw and a red on the second? c. Two green chips being drawn? d. A red chip on the second, given that a white chip was drawn on the first?
(2-18)
Last year, at northern manufacturing company, 200 people had colds during the year. One hundred and fifty five