Gce Model Questions Vol1 2024 Geography Question 42
Practice objective / multiple choice question 42 from the 2024 Gce Model Questions Vol1 Geography examination.
An industrial firm has fixed annual costs of £120,000. It produces two products, A and B. - Variable cost per unit: A £15, B £20. - Current selling price: A £30, B £40. - Demand functions (units per year): \( Q_A = 8000 - 100P_A \), \( Q_B = 6000 - 80P_B \). The price of product B will remain at £40. Management wishes to achieve an annual profit of £30,000 and decides that the new price of product A must not exceed £50. What should the new price of product A be (to the nearest penny) to meet the profit target under these conditions?
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About This Question
This is Gce Model Questions Vol1 2024 Geography Question 42. It is one of the objective questions from the 2024 Gce Model Questions Vol1 Geography examination.
Difficulty level: Hard .
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