A Cellphone Maker Sells 6,000 Units Per Month at $600

question 217

Multiple Choice

A cellphone maker sells 6,000 units per month at $600 each.The firm is investigating whether a price cut to $500 is warranted.The firm's marginal cost of production of each phone is a constant $400 per unit.To maintain profits at their current level, quantity sold must increase to at least

• A)8,000
• B)10,000
• C)12,000
• D)15,000

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Definitions:

Stretched Pebbles

Elongated pebbles that have been deformed and stretched by tectonic forces in a metamorphic environment.

Anticline

An anticline is a type of fold that is arch-shaped and has its oldest beds at its core, typically resulting from compressional forces in the Earth's crust.

Syncline

A geological structure where rock layers fold downward, creating a U-shaped valley.

Monocline

A geological fold in which all layers are inclined in the same direction, forming a step-like structure in the Earth's strata.