Use the updated demand (Q_D) and marginal revenue (MR) functions below to complete this assignment.

Due to changes in the low calorie, frozen, microwavable industry’s market structure, the firm-specific demand equation for our hypothetical company has shifted outward and is now:

QD = 350,000 – 100 P

This function generates the following Marginal Revenue Function (MR):

MR = 3500-0.02Q

 

Write a six to eight (6-8) page paper in which you:

1.  Outline a plan that will allow you to identify the market structure in which your company now operates. Comment on the relevant elasticity results from Assignment 1 and your research into two (2) of leading competitors in this industry, taking note of their pricing strategies, profitability, and their relationships within the industry (worldwide).

Note: In Assignment 1, the assumption was that the market structure was perfectly competitive. Changes in the market now suggest it is imperfectly competitive and that your firm now has substantial market power to set its own “optimal” price.

2.  Given that the market structure has changed from the original scenario in Assignment 1, determine at least two (2) likely factors that might have caused the change. Predict the primary manner in which this change would likely impact business operations in the new market environment.

3.  Analyze the major short run cost functions for this firm assuming they are represented by the equations below. Suggest substantive ways in which you may use this information to make production decisions in the short-run and possibly the long run.

• TC = 160,000,000 + 100Q + 0.00632Q²
• VC = 100Q + 0.00632Q²
• MC= 100 + 0.0126Q

• Hints: What is the equation for average total costs? How is this useful? What is the output level and dollar value associated with minimum average total cost and minimum average variable costs? 

4.  Determine the possible circumstances under which your firm should discontinue operations. Suggest key actions that management should take in order to confront these circumstances. Provide a rationale for your response.

• (Hint: Your firm’s price must cover average variable costs in the short run and average total costs in the long run to continue operations.)

5. Determine the firm’s profit maximizing price and output level of output using the golden rule: MR = MC, and/or suggest an alternative pricing policy that will enable the firm to maximize profits. Provide a rationale for your suggestion.

6.  Outline a plan, or use your results above, to evaluate this firm’s financial performance. Consider all the key drivers of performance, such as total revenue, total cost, total profit, etc. Assuming production is operating at its optimal scale (min. ATC = min. LRATC), is the firm earning positive or negative profits in the short run? Is this profitability likely to change in the long run?

• Hint: To calculate profit in the short run, use the cost, price, and output levels you generated in part 5.
• Hint: Profit in the long run will be driven down or up to zero if there are no significant market barriers to entry or exit.

7.  Recommend two (2) actions the firm could take to improve its profitability and deliver more value to its stakeholders. Outline, in brief, a plan to implement your recommendations.

8.  References: Use at least five (5) quality academic resources in this assignment. 

Your assignment must follow these formatting requirements:

Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.

Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.

 

Imagine you are an exchange student living in Pamplona. While you are in Pamplona, you are in charge of creating a 3-month event calendar using vocabulary about everyday activities, dates and months, and days of the week.

 

Elvis Costello has 10% of his stock holdings in stock A with a beta of 1.30, 20% are in stock B with a beta of .60, and the remainder is in a stock with a beta of 1.00. To the nearest .01, what is the beta on the portfolio? municipal bond has an 4% annual coupon and a 4.15% yield to maturity. Which of the following statements is CORRECT? Answer The bond sells at a premium. The bond has a current yield lower than 4%. The bond sells at par. The bond sells at a discount If a firm finances with only debt and common equity, and its debt ratio is 0.50, then its equity multiplier must be 2.5. TorF

Assignment Details

For this Discussion Board assignment, you will write a definition essay post on the term motivation. In this essay post, you will define what it means to you to be motivated as a college student in a writing course. In your essay post, include challenges that you are facing with college level writing and the role that motivation will play in your success of this course. Explain what it will take for you to be motivated to develop writing skills, complete required assignments on time, incorporate instructor feedback, and transfer learning into your future courses and professional life. Your definition essay post should contain facts, examples, and anecdotes. For a review of the basic writing process from the UNIV103 courses, click here.

At a minimum, your essay post should address the following with an introduction, a thesis statement, body paragraphs, and a conclusion:

• Include fully developed paragraphs with topic sentences.
• Define motivation using examples and anecdotes (stories).
• Provide a critical analysis of your writing capabilities.
• Identify future writing skill needs and your motivation to improve deficiencies.
• Discuss importance of completing all assignments on time and incorporating instructor feedback.
• Discuss importance of transferring writing skills mastered in this course in your future courses and career requirements.
• Share what you want to achieve in the course to become a successful writer.

Review the posts of your classmates, and respond to a minimum of 2 classmate posts. For assistance with your assignment, please revise and practice your intellipath nodes and use your text, Web resources, and all course materials.