Neesh P

Suppose that BMW can produce any quantity of cars

at a constant marginal cost equal to $20,000 and a fixed

cost of $10 billion. You are asked to advise the CEO as

to what prices and quantities BMW should set for sales

in Europe and in the United States. The demand for

BMWs in each market is given by:

QE = 4,000,000-100PE

and

Qu = 1,000,000- 20Pu

where the subscript E denotes Europe, the subscript U

denotes the United States. Assume that BMW can

restrict U.S. sales to authorized BMW dealers only.

A) What quantity and price should be sold in each market?

B) If the same price had to be charged in both markets, what would the quantity sold, price, and profit earned by the company?

Thanks!

Why are they significant in Canadian labour movement history?

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Hello,

I recently got into collecting the new 52 comics from dc. I know the issues come out once a month, but I was wondering what week of the month do the following titles get released?

-Batman

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Thanks

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The answer is 23 1/3 and 11 2/3

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