Deck 9: Modeling a Business

Question 1

A new company manufactures tennis rackets.The fixed expenses are $78,490,and the variable expenses are $14 per racket produced.What is the expense of producing 3,500 rackets?

A) $49,000
B) $81,990
C) $127,490
D) $147,900

Answer 1

$127,490

Question 2

There are 12,650 ways a teacher can group 4 students in a class that has 25 students.

Answer 2

True

Question 3

Examine the graph below.At what price is the maximum profit? ​

A) $24
B) $48
C) $27,000
D) $62,000

Answer 3

$24

Question 4

The zeros of a quadratic function can be found by which of the following methods?

A) Factoring
B) Quadratic formula
C) Completing the square
D) All of the answer choices are correct.

Question 5

The Cacti Company manufactures and sells succulent gardens.The gardens have an expense equation of E = 4.7q + 34,000.The average cost per garden is $12.50 when 2,500 are produced.

Question 6

Where the graphs of supply and demand functions intersect,the market is in equilibrium.

Question 7

A company manufactures and sells cutting boards for $7 wholesale and recommends a markup of $2.70 for a selling price of $4.30.

Question 8

A company that produces lawn chairs uses market surveys and linear regression to develop a demand function based on the wholesale price.The demand function is q = -110p + 7,500.At a price of $45,how many lawn chairs are demanded?

A) 1,750
B) 2,550
C) 4,950
D) 12,450

Question 9

In the revenue equation R = -360p² + 28,800p,what is the maximum revenue that can be expected?

A) $1,728,000
B) $576,000
C) $540,000
D) $518,400

Question 10

In the revenue equation R = -360p² + 28,800p,what is the price that should be set that leads to the maximum revenue?

A) $50
B) $30
C) $80
D) $40

Question 11

The dashed line represents the expense function,and the solid line represents the revenue function.

Question 12

Jeff prepares meals in the home of his customers.His fixed cost for transportation and supplies is $14.50.The labor and groceries needed for each family meal is $8.80,so the expense function is E = 5.7q + 8.8.

Question 13

A demand function for step stools manufactured by U-Step is q = -720p + 20,500.What is the revenue if the price per step stool is $18?

A) $369,000
B) $135,720
C) $28,040
D) $7,540

Question 14

The price that a manufacturer charges a retailer for an item is the wholesale price.

Question 15

A trademark claims ownership of the idea for an invention.

Question 16

Marsha used a graphing calculator to graph an expense and a revenue function for her family's printing business.The graph looked like the one below.What are the approximate breakeven points? ​

A) 75,000 and 38,000
B) 120,000 and 52
C) 15 and 47
D) 8 and 52

Question 17

The graph shows the supply and demand curves for a Cajun spice mix that Leroy manufactures in a home business.What will happen if Leroy sets the price at $3.99? ​ ​

A) The supply will exceed the demand.
B) The demand will exceed the supply.
C) The market will be in equilibrium.
D) Five hundred spice mixes will be demanded.

Question 18

In the revenue equation R = -360p² + 28,800p,what is the highest price that should be set that leads to a revenue of $540,000?

A) $30.00
B) $1,500.00
C) $80.00
D) $50.00

Question 19

If you were doing a study,your class,sports team,neighborhood,or community center could be considered convenience samples.

Question 20

The costs for postage and packaging are examples of fixed expenses.

Question 21

Custom Tees has determined that its variable of producing t-shirts is due to increases in the price of cotton.Their expense function was recently adjusted from E = -1040p + 91,520 to E = -900p + 91,520.If the breakeven point before the adjustment was $16,what will be the net percent change in expenses if the price is left at $16?

Question 22

Custom Tees has determined that its expense and revenue functions are E = −1040p + 91,520 and R = -260p² + 15,600p − 108,160.At which price points can the company expect to break even?

Question 23

A startup company selling cell phone cases noticed the following trend in the demand for its product.Find the equation of the demand function.

Question 24

A company makes flower pots.The flower pots have an expense equation of E = 2.75q + $24,582.What is the fixed cost in the expense function?

Question 25

A new Google cell phone has a markup of 175% and sells for $650.00.What is the wholesale price of the cell phone?

Question 26

What is it called when the expenses and the revenue are equal,so there is no profit or loss?

Question 27

A market research firm was looking to form 45 different pairs of students from a group of students selected randomly.How many students were in that group?

Question 28

In what shape is the graph of a revenue function?

Question 29

What is a zero net difference?

Question 30

AAA Dance Shoes makes dancing shoes with leather soles.The shoes cost $29 to manufacturer.The fixed cost for the product line is $45,000.The company has determined their demand function to be q = -200p + 30,000,where p is the price for each pair of shoes.Write the expense and revenue functions in terms of price.

Question 31

Determine the expense E for production of an item when the price of $74.99 has been established.Fixed expenses are $59,000 and each unit produced costs $42.00 to make.The demand function has been determined to be q = 67p + 74,000.

Question 32

When does undercoverage occur?

Question 33

The graph shows the supply and demand for a widget.What happens if the price is set at $25?
​

Question 34

The Sports Brand Company is making a new shoe that has a wholesale price of $60,and it wishes to advertise a retail price of $149.99.What is the markup percentage?

Question 35

Toby's Tiny Toys have an expense equation of E = 12.45q + 53,900.Toby's sell its toys for $16.50 each,and its revenue equation is R = 16.5q.How many tiny toys does it have to sell to reach its breakeven point?

Question 36

Custom Tees has determined that its expense and revenue functions are E = −1040p + 91,520 and R = −260p² + 15,600p − 108,160.What is the maximum profit that this company can expect to make?