Use the Table Below to Answer the Following Question(s) -Which of the Following Is the Excel Formula to Determine

question 26

Multiple Choice

Use the table below to answer the following question(s) .
In the spreadsheet below, there is data on the price, cost, demand, and quantity produced for an item. There are also different "what if" values that can help a manager to calculate costs and revenue with variability in demand. $\begin{array}{|l|l|l|l|}\hline & \text { A } & \text { B } & \text { C } \\\hline 1 & \text { Profit Model } & & \\\hline 2 & & & \\\hline 3 & \text { Data } && \begin{array}{l}\text { What-If } \text { Demand } \\\text { Values }\end{array} \\\hline 4 & & & 20,000 \\\hline 5 & \text { Unit Price (\$) } & 50 & 40,000 \\\hline 6 & \text { Unit Cost (\$) } & 25 & 55,000 \\\hline 7 & \text { Fixed Cost (\$) } & 550,000 & 60,000 \\\hline 8 & \text { Demand } & 60,000 & 65,000 \\\hline 9 & \text { Quantity Produced } & 55,000 & \\\hline 10 & & & \\\hline\end{array}$
-Which of the following is the Excel formula to determine the number of units sold?

• A) =B8
• B) =MIN(0,B8,B9)
• C) =MIN(B8,B9)
• D) =MAX(0,B8,B9)

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Definitions:

Consumer Good

A product that is purchased by end-users or consumers for personal use.

Resource Demand

The desire and ability of firms or individuals to acquire resources or inputs necessary for production, influenced by their price and productivity.

Demand Decrease

A reduction in the quantity of a product or service wanted by consumers at any given price level.

Production Function

A mathematical relationship expressing the maximum output that can be produced from a given set of inputs in the production process.