Maker Sun Chairs Is Trying to Determine the Optimal Price $$\begin{array} { c c } \text { Unit Price } & \text { Unit Dem and } \\\$ 45 & 7,200 \\\$ 44 & 7,800 \\\$ 43 & 8,400 \\\$ 42 & 8,800\end{array}$$

question 92

Multiple Choice

Maker Sun Chairs is trying to determine the optimal price to charge for its galvanized deck chairs.The company has total fixed costs of $120,000 and the deck chairs have a unit variable cost of $27.00 per unit.Maker Sun Chairs has determined that the following relationships exist between price and demand: $$\begin{array} { c c } \text { Unit Price } & \text { Unit Dem and } \\\$ 45 & 7,200 \\\$ 44 & 7,800 \\\$ 43 & 8,400 \\\$ 42 & 8,800\end{array}$$ What is the anticipated profit at a price of $43?

• A)$134,400
• B)$14,400
• C)$194,400
• D)$361,200

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Definitions:

Pineal Body

A small gland in the brain involved in the production of the hormone melatonin, regulating sleep patterns.

Third Ventricle

A narrow, midline cavity in the brain, part of the ventricular system where cerebrospinal fluid is produced and circulates, located between the two halves of the thalamus.

Habenula

A paired structure located in the epithalamus of the brain, involved in regulating responses to pain, stress, sleep, and reward by linking the forebrain to the midbrain and associated with various neurotransmitter systems.

Pineal Body

A small endocrine gland in the brain that produces melatonin, a hormone that regulates sleep-wake cycles.